Hey there.The question is in the attached document. Can you please answer this question in a spreadsheet-like manner and show the formulas?It's only through the formulas that I can truly understand and learn from your work.Please note that the question has five subparts. If you want, please deduct five questions from my total amount of 30 questions to be asked.I am looking forward to hearing from you. Question 2: Activity Based CostingCovitech Ltd has successfully launched 2 different vaccines mRNA 1 and mRNA2 tomitigate the impact of a pandemic outbreak. The company is actively engaged indeveloping new vaccine based on research and development. The vaccines areproduced in batches, packed, and shipped at once after every batch of productionbecause of overwhelming global demand. The budgeted information to produce 2 newvaccines currently is given below.Direct materials-mRNA 1Direct materials-mRNA 2Direct manufacturing labour-mRNA 1Direct manufacturing labour-mRNA 2SetupPacking &Shipping incurred for batchesResearch and development cost for different versionsCovitech LtdBudget for costs and ActivitiesFor the Year Ended 30 June 2022Plant utilities and administrationTotalOther Budget information follows:Number of dosesHours of productionNumber of batchesNumber of versionsRequired:mRNA16,0001,4501302$180,000120,00025200030500054000216000166,000243,000$1,536,000mRNA22,5002,6006021. Identify the cost hierarchy level for each cost category.2. Identify the most appropriate cost driver for each cost category. Brieflyexplain yourchoice of cost driver.3. Calculate the budgeted cost per unit of cost driver for each cost category.4. Calculate the budgeted total costs and cost per unit for each product line.5. Explain how you could use the information in requirement 4 to reduce costs.

Activity based costing (ABC) is the costing method which allocates the overheads (activity…

Covitech Ltd has successfully launched 2 different vaccines mRNA 1 and mRNA2 t mitigate the impact of a pandemic outbreak. The company is actively engaged i developing new vaccine based on research and development. The vaccines an produced in batches, packed, and shipped at once after every batch of productio because of overwhelming global demand. The budgeted information to produce 2 new vaccines currently is given below. Covitech Ltd Budget for costs and Activities For the Year Ended 30 June 2022 Direct materials-mRNA 1 Direct materials-mRNA 2 $180,000 120,000

Covitech Ltd has successfully launched 2 different vaccines mRNA 1 and mRNA2 t mitigate the impact of a pandemic outbreak. The company is actively engaged i developing new vaccine based on research and development. The vaccines an produced in batches, packed, and shipped at once after every batch of productio because of overwhelming global demand. The budgeted information to produce 2 new vaccines currently is given below. Covitech Ltd Budget for costs and Activities For the Year Ended 30 June 2022 Direct materials-mRNA 1 Direct materials-mRNA 2 $180,000 120,000

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter13: Lean Manufacturing And Activity Analysis

Section: Chapter Questions

Problem 3PB: Lean accounting Com-Tel Inc. manufactures and assembles two models of smartphonesthe Tiger Model and...

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The production department is proposing the purchase of an automatic insertion machine. It has identified three machines and has asked the accountant to analyze them to determine which one has the best average rate of return. Machine A Machine B Machine C $83,087.40 $73,001.40 322,364.00 276,958.00 486,676.00 Estimated average income $45,130.96 Average investment Oa. Machine B Ob. Machine C Oc. Machine A Od. Machines B and C have the same preferred average rate of return.
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