The difference between the models is in the cost of the parts.

The difference between the models is in the cost of the parts.

The difference between the models is in the cost of the parts.
The difference between the models is in the cost of the parts.

Nevada Instruments manufactures two models of calculators. The finance model is the Financial 5 and the scientific model is the Scientific 6. Both models are assembled in the same plant and require the same assembly operations. The difference between the models is in the cost of the parts.

The following data are available for August:

Nevada Instruments: August data

 

Financial 5

Scientific 6

Total

Number of Units

11,000

44,000

55,000

Parts Cost Per Unit

$25

$30

Other Costs:

Direct Labor

$68,200

Indirect Materials

 

$19,250

Overhead

$17,550

Total

$165,000

Complete the following:

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