Using the current cost accounting system, what cost per unit


Exhibit 3Specialty Products Inc., manufactures affable items sold at dealing shows. The items,classified as either Trinkets or Widgets, are constrained on a niggardly nock course. Otherthan distant work (discussed excite underneath), the set operates at liberal competency.The present absorb accounting rule allocates all overhead to the two products on the foundation ofmachine hours. The forthcoming notification applies to the month of July:TrinketsWidgetsTotalNumber of Batches Produced8035115Number of Units24003502750Number of Machine Hours16001751775Number of Inspections16070230Number Engineering Changes134Direct Work Salary & Benefits per Unit$40Direct Material per Unit$26$14$8The General Ledger also shows that the forthcoming amounts were elapsed on distant resources:Indirect Work Salaries and Benefits$36,000Computer ResourcesUtilities & Misc. Other$12,000$25,000$73,000A.REQUIRED: Using the present absorb accounting rule, what absorb per ace would be reportedfor the two products for the month of July?Trinket $unitWidget $unit

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