ABC Costing - Anderson Ltd June 2020 (Kaplan)

Hi there Can you answer the following question for me please Anderson Ltd has a single production process for which the following costs have been estimated for the period ending 31 December 2015: 1. Material receipt and inspection cost: $15,600 2. Power cost: $19,500 3. Material Handling cost $13,650 Total = $48,750 Three Products X, Y and Z are produced by workers who perform a number of operations on material blanks using hand held electrically powered drills. The workers have a wage rate of $9 per hour. The following budgeted information has been obtained: Product X Product Y Product Z Production Quantity 2000 1500 800 Batches of material 10 5 16 Direct material per unit, in m2 4m2 6m2 3m2 Direct material per unit, in $ $5 $3 $6 Direct labour, in minutes 24 40 9 No.Power drill operations per unit 6 3 2 Cost drivers: Material receipt & inspection - No.Batches of material Process power - No.Power drill operations Material handling: Quantity of material (sq m2) handled Task - Calculate using ABC the budgeted product cost per unit for product X. Options are $8.56, $16.10, $18.12 or $20.40 Please help.