1 1 1 1 1 1 1 1 1 14242 Homework 17 Question 3 of 3 -/3 View Policies Current Attempt in Progress Bonita, Inc manufactures steel cylinders and nozzles for two models of fire extinguishers (1) a home fire extinguisher and (2) commercial fire extinguisher. The home model is a high volume (54,000 units). half calon cylinder that holds 2 1/2 pounds of multi purpose dry chemical at 480 Pst. The commercial model is a low volume (10.200 units), two gallon cylinder that holds 10 pounds of multi-purpose dry chemical at 390 PSI. Both products require 1.5 hours of direct labor for completion. Therefore, total anual direct labor hours are 96.300 or 15 hours *(54,000 + 10,2001). Estimated annual manufacturing overhead is $1,581,808. Thus, the predetermined overhead rate is $16.43 or (51.581.808 96,300) per direct labor hour. The direct materials cost per unit is $18.90 for the home model and $26.50 for the commercial model. The direct labor cost is $19 per unit for both the home and the commercial models, The company's managers identified six activity cost pools and related cost drivers and accumulated overhead by cost pool as follows. Estimated Use of Drivers by Product Activity Cost Pools Estimated Use of Cost Drivers Estimated Overhead Home Commercial $87.100 335,000 215,000 120.000 Receiving Forming Assembling Cost Drivers Pounds Machine hours Number of parts Number of tests 152.950 35.000 27.000 8.000 410.130 217.000 165.000 52.000 25.500 53,040 15.500 10.000 Testing 5.258 3680 1.578 57,838 Painting Gallons 820.750 335.000 215.000 120.000 Pounds Packing and shipping $1.581.808