Lean Accounting Martin Lighting Inc. manufactures lighting fixtures, using just-in-time manufacturin

/in /by

Lean Accounting

Martin Lighting Inc. manufactures lighting fixtures, using just-in-time manufacturing methods. Style BB-01 has a materials cost per unit of $38. The budgeted conversion cost for the year is $119,700 for 2,100 production hours. A unit of Style BB-01 requires 18 minutes of cell production time.

The following transactions took place during October: Materials were acquired to assemble 810 Style BB-01 units for October. Conversion costs were applied to 810 Style BB-01 units of production. 750 units of Style BB-01 were completed in October. 700 units of Style BB-01 were sold in October for $110 per unit.

a. Determine the budgeted cell conversion cost per hour. Round to the nearest cent.
$ per hour

b. Determine the budgeted cell conversion cost per unit. Round to the nearest cent.
$ per unit

c. Journalize the summary transactions (1)–(4) for October. If required, round your answers to one decimal place. 1. 2. 3. 4. Sale 4. Cost