Trauscht Corporation has provided the following data from its activity-based costing system:
|
Activity Cost Pool |
Total Cost |
Total Activity |
|
Assembly |
704,880 |
44,000 machine-hours |
|
Processing orders |
91,428 |
1,900 orders |
|
Inspection |
117,546 |
1,950 inspection-hours
|
The company makes 360 units of product P23F a year, requiring a total of 725 machine-hours, 85 orders, and 45 inspection-hours per year. The product’s direct materials cost is $42.30 per unit and its direct labor cost is $14.55 per unit. The product sells for $132.10 per unit. According to the activity-based costing system, what is the product margin for product P23F?