Alpha Technology Produces Two Products: a High End Laptop Under

Multiple Choice

Alpha Technology produces two products: a high end laptop under the label Excellent Laptops and an inexpensive desktop under the label Outstanding 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.


- Calculate the overhead cost per unit for Excellent Laptops using a plantwide rate based on direct labor costs.(Note: Round answer to two decimal places.)

A) $9.63 per laptop
B) $22.45 per laptop
C) $4.25 per laptop
D) $7.22 per laptop
E) $7.50 per laptop