?A company makes two products using the same type of materials and skilled workers. The?following information is available:??
? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?Product A? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? Product B?
Budgeted volume (units)? ? ? ? ? ? ? ? ? ? ? ? ? ? ? 1,000? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?2,000
Material per unit ($)? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?10? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?20
?Labour per unit ($)? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?5? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? 20
?Fixed costs relating to material handling amount to $100,000. The cost driver for these?costs is the volume of material purchased.?
General fixed costs, absorbed on the basis of labour hours, amount to $180,000.?
Using activity-based costing, what is the total fixed overhead amount to be absorbed into?each unit of product B (to the nearest whole $)??