Figure 7-4

Multiple Choice

Figure 7-4.Honeydew Company produces two products, a high end laptop computer under the label Bunsen Laptops, and an inexpensive desktop computer under the label Beaker Computers. The two products use two overhead activities, with the following costs:
The controller has collected the expected annual prime costs for each product, the machine hours, the setup hours, and the expected production.
-Refer to Figure 7-4. Calculate the overhead cost per unit for Bunsen Laptops, using a plantwide rate based on direct labor costs.

A) $9.63 per laptop
B) $22.45 per laptop
C) $5.60 per laptop
D) $7.22 per laptop
E) $7.50 per laptop