Witt Recreation Company (WRC) makes e-bikes. The company currently manufactures two models, the Coaster and the Traveler, in one- of the WRC factories. Both models require the same assembling operations. The difference between the models is the cost of materials. The following data are available for the second quarter. Number of bikes assembled Materials cost per bike Other costs: Direct labor Depreciation and lease Supervision and control Factory administration Material cost Operation cost Total cost Unit cost Coaster 778 $ 638 Coaster Traveler 470 $ 1,280 Required: Witt Recreation Company uses operations costing and assigns conversion costs based on the the direct materials costs. Compute the cost of each model assembled in the second quarter. Note: Do not round intermediate calculations. Round your answers to the nearest whole dollar amount. Traveler Total 1,240 S S $ 305,000 396,000 257,000 346,000 Total 0 0

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Chapter20: Activity-based Costing (abc)
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Witt Recreation Company (WRC) makes e-bikes. The company currently manufactures two models, the Coaster and the Traveler, in one
of the WRC factories. Both models require the same assembling operations. The difference between the models is the cost of
materials. The following data are available for the second quarter.
Number of bikes assembled
Materials cost per bike
Other costs:
Direct labor
Depreciation and lease.
Supervision and control
Factory administration
Material cost
Operation cost
Total cost
Unit cost
Coaster
770
$ 638
Coaster
Traveler
470
$ 1,280
Traveler
Required:
Witt Recreation Company uses operations costing and assigns conversion costs based on the the direct materials costs. Compute the
cost of each model assembled in the second quarter.
Note: Do not round intermediate calculations. Round your answers to the nearest whole dollar amount.
Total
S
$
1,240
$ 305,000
396,000
257,000
346,000
Total
0
0
Transcribed Image Text:Witt Recreation Company (WRC) makes e-bikes. The company currently manufactures two models, the Coaster and the Traveler, in one of the WRC factories. Both models require the same assembling operations. The difference between the models is the cost of materials. The following data are available for the second quarter. Number of bikes assembled Materials cost per bike Other costs: Direct labor Depreciation and lease. Supervision and control Factory administration Material cost Operation cost Total cost Unit cost Coaster 770 $ 638 Coaster Traveler 470 $ 1,280 Traveler Required: Witt Recreation Company uses operations costing and assigns conversion costs based on the the direct materials costs. Compute the cost of each model assembled in the second quarter. Note: Do not round intermediate calculations. Round your answers to the nearest whole dollar amount. Total S $ 1,240 $ 305,000 396,000 257,000 346,000 Total 0 0
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