Answered

Looking for answers? Westonci.ca is your go-to Q&A platform, offering quick, trustworthy responses from a community of experts. Get immediate and reliable solutions to your questions from a community of experienced professionals on our platform. Join our Q&A platform to connect with experts dedicated to providing accurate answers to your questions in various fields.

Yellow, Inc. manufactures teddy bears and dolls. Currently, Yellow makes 2,000 teddy bears each month. Each teddy bear uses $2.00 in direct materials and $0.50 in direct labor. Yallow uses two activities in manufacturing the teddy bears: Sewing and Processing. The cost associated with Sewing is $15,000 a month, allocated on the basis of direct labor hours. The cost associated with Processing is $10,000 a month, allocated on the basis of batches. The activity drivers are used as follows:

Teddy Bears Dolls
Direct labor hours 200 200
Batches 35 65

Required:
What is the total manufacturing cost for one teddy bear?

Sagot :

abiolataiwo2015

The total manufacturing cost for one teddy bear is $8.

Total manufacturing cost

Total manufacturing cost for one teddy bear:

Total manufacturing cost=$2.00 + $0.50+ [($15,000× 1/2)/2,000] + [($10,000 × 35%)/2,000]

Total manufacturing cost=$2.00 + $0.50 + ($7,500/2,000) + ($3,500/2,000)

Total manufacturing cost=$2.00+ $0.50 + $3.75+ $1.75

Total manufacturing cost=$8

Therefore the total manufacturing cost for one teddy bear will be $8.

Learn more about  total manufacturing cost here:https://brainly.com/question/13767214

Thank you for choosing our platform. We're dedicated to providing the best answers for all your questions. Visit us again. Thank you for choosing our platform. We're dedicated to providing the best answers for all your questions. Visit us again. We're dedicated to helping you find the answers you need at Westonci.ca. Don't hesitate to return for more.