Tech Engineering Inc. makes a product in two different styles for the export and domestic market Show more Tech Engineering Inc. makes a product in two different styles for the export and domestic markets. The annual demand forecasts are 20000 units and 125000 units for the export and domestic market respectively. Additional data available are shown below. Direct labor rate is $18/hr including benefits. Product DL Hrs/Unit Direct Material Cost/Unit Export 5.20 $300 Domestic 2.00 100 Annual Events Contributing to Cost Activity Center Cost Driver Total Cost Total Export Domestic Purchase Orders # of orders $ 188000 1400 500 900 Scrap/Rework # of orders 220000 800 300 500 Product Testing # of tests 700000 16000 4000 12000 Machine Repair Hours # of hours 1892000 48000 16000 3200 The overhead expenses are estimated to be $3.0M. For Tech Engineering What is the unit production cost using the traditional method for the Domestic product? Show less
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