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5e sol11-05

# 5e sol11-05 - Grayson \$1,200 x 20 24,000 Lambert \$1,200 x...

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Cost Management Hansen and Mowen Ex 11-5 Name: SOLUTION Enter the appropriate numbers in the shaded cells in columns D, F, K, and M. 1) Activity Cost / Units Activity Rate Inspection components \$1,200,000 / 1,000 = \$1,200 per inspected order Expediting work \$960,000 / 100 = \$9,600 per expedited order Reworking products \$6,844,500 / 1,500 = \$4,563 per rework hour Warranty work \$21,600,000 / 4,000 = \$5,400 per warranty hour Activity Grayson Lambert Purchase cost: Rate x Units Grayson \$144 x 200,000 \$28,800,000 Lambert \$129 x 800,000 \$103,200,000 Inspecting components:
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Unformatted text preview: Grayson \$1,200 x 20 24,000 Lambert \$1,200 x 980 1,176,000 Expediting work: Grayson \$9,600 x 10 96,000 Lambert \$9,600 x 90 864,000 Reworking products: Grayson \$4,563 x 90 410,670 Lambert \$4,563 x 1,410 6,433,830 Warranty works: Grayson \$5,400 x 200 1,080,000 Lambert \$5,400 x 3,800 20,520,000 Total \$30,410,670 \$132,193,830 Divided by units supplied 200,000 800,000 Unit cost \$152.05 \$165.24 2) Activity Grayson Lambert Lost Sales: Rate x Units \$1,125 x 200 \$225,000 \$1,125 x 3,800 \$4,275,000...
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