Business, 22.02.2021 18:50 suttonfae336
Handy Man manufactures baseball bats and wooden tops. Currently, Handy Man makes 5,000 baseball bats each month. Each bat uses $1.00 in direct materials and $0.50 in direct labor. Handy Man uses two activities in manufacturing the baseball bats: Cutting and Finishing. The cost associated with Cutting is $7,500 a month, allocated on the basis of direct labor hours. The cost associated with Finishing is $12,000 a month, allocated on the basis of batches. The activity drivers are used as follows:.
Baseball bats Wooden tops
Direct labor hours 100 200
Batches 4 6
What is the total manufacturing cost for one baseball bat?
a. $3.94
b. $2.96
c. $1.46
d. $1.50
Answers: 1
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Handy Man manufactures baseball bats and wooden tops. Currently, Handy Man makes 5,000 baseball bats...
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