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b.

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h.

Keller Company makes two models of battery-operated boats, the Sandy Beach and the Rocky River. Basic production information follows: Keller has monthly overhead of $11,428, which is divided into the following activity pools: The company also has compiled the following information about the chosen cost drivers: Required: Suppose Keller uses a traditional costing system with machine hours as the cost driver. Determine the amount of overhead assigned to each product line. Note: Do not round intermediate calculations and round your final answers to the nearest whole dollar amount. Calculate the production cost per unit for each of Keller's products under a traditional costing system. Note: Round your intermediate calculations and final answers to 2 decimal places. Calculate Keller's gross margin per unit for each product under the traditional costing system. Note: Round your intermediate calculations and final answers to 2 decimal places. Select the appropriate cost driver for each activity pool and calculate the activity rates if Keller wanted to implement an ABC system. Note: Round your answers to 2 decimal places. Assuming an ABC system, assign overhead costs to each product based on activity demands. Note: Round your intermediate calculations to 2 decimal places and final answers to the nearest whole dollar amount. Calculate the production cost per unit for each of Keller's products with an ABC system. Note: Round your intermediate calculations and final answers to 2 decimal places. Calculate Keller's gross margin per unit for each product under an ABC system. Note: Round your intermediate calculations and final answers to 2 decimal places. Compare the gross margi of each product under the traditional system and ABC. Note: Round your answers to 2 decimal places