Besser, Inc., manufactures and sells two products: Product D0 and Product S3. Data concerning the expected production of each product and the

	Expected Production	Direct Labor-Hours Per Unit	Total Direct Labor-Hours
Product D0	800	5.0	4,000
Product S3	100	8.0	800
Total direct labor-hours			4,800

The direct labor rate is $24.70 per DLH. The direct materials cost per unit for each product is given below:

	Direct Materials Cost per Unit
Product D0	$136.60
Product S3	$162.60

The company is considering adopting an activity-based costing system with the following activity cost pools, activity measures, and expected activity:

		Estimated	Expected Activity
Activity Cost Pools	Activity Measures	Overhead Cost	Product D0	Product S3	Total
Labor-related	DLHs	$187,104	4,000	800	4,800
Production orders	Orders	56,590	400	600	1,000
General factory	MHs	339,560	3,400	3,100	6,500
		$583,254

Required: In all computations involving dollars in the following requirements, round off your answer to the nearest whole cent. a. The company currently uses a traditional costing method in which overhead is applied to products based solely on direct labor-hours. Compute the company's predetermined overhead rate under this costing method. b. How much overhead would be applied to each product under the company's traditional costing method? c. Determine the unit product cost of each product under the company's traditional costing method. d. Compute the activity rates under the activity-based costing system. e. Determine how much overhead would be assigned to each product under the activity-based costing system. f. Determine the unit product cost of each product under the activity-based costing method. g. What is the difference between the overhead per unit under the traditional costing method and the activity-based costing system for each of the two products? h. What is the difference between the unit product costs under the under the traditional costing method and the activity-based costing system for each of the two products?