Howrley-David, Inc., manufactures two models of motorcycles: the Fatboy and the Screamer. Both models are assembled in the same plant and require the same assembling operations. The difference between the models is the cost of materials. The following data are available for August: Fatboy Screamer Total Number of units assembled 990 1,980 2,970 Materials cost per unit $ 2,600 $ 3,600 Other costs: Direct labor $ 3,207,600 Indirect materials 534,600 Other overhead 1,603,800 Required: Howrley-David uses operations costing and assigns conversion costs based on the number of units assembled. Compute the cost of each model assembled in August.
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Howrley-David, Inc., manufactures two models of motorcycles: the Fatboy and the Screamer. Both model...
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