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Safety Device_v1 - SAFETY MONITORING DEVICES INC A Existing...

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SAFETY MONITORING DEVICES, INC. A. Existing method B. ABC method C. In-between ODD TGD ODD TGD ODD TGD DM (Exh 2) 88.00 111.00 88.00 111.00 88.00 111.00 DL (Exh 2) 64.00 64.00 64.00 64.00 64.00 64.00 Prime costs 152.00 175.00 152.00 175.00 152.00 175.00 OH Burden Rate Production volume 25,000.00 12,500.00 25,000.00 12,500.00 DLH /unit 4.00 4.00 Total DLH 100,000.00 50,000.00 150,000.00 Total OH expenses 3,000,000.00 1,499,000.00 1,501,000.00 OH burden rate 20.00 OH cost per unit 80.00 80.00 59.96 120.08 66.12 107.76 FULL COST/ UNIT 232.00 255.00 211.96 295.08 218.12 282.76 B. ABC method Expense Budget (Exh 3) Driver number Rate/Driver R &D 300,000 5 60,000.00 Marketing 380,000 2 190,000.00 Gen. Admin 750,000 37,500 20.00 Purchasing 120,000 300 400.00 Materials handing 125,000 50 2,500.00 Machine set-up 180,000 120 1,500.00 Supervision 225,000 150,000 1.50 Quality control 195,000 37,500 5.20 Packaging & Shipping 210,000 400 525.00 Machine depreciation 165,000 137,500 1.20 Plant ( Upkeep, etc.) 240,000 37,500 6.40 Miscellaneous 110,000 137,500 0.80 3,000,000 OH Allocation ODD TGD Driver Part Cost Driver Part Cost Total Cost R &D
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