Combat Fire, Inc. manufactures steel cylinders and nozzles for two models of fire extinguishers: (1) a home fire extinguisher and (2) a commercial fire extinguisher. Thehome modelis a high-volume (54,000 units), half-gallon cylinder that holds 2 1/2 pounds of multi-purpose dry chemical at 480 PSI. Thecommercial modelis 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 annual direct labor hours are 96,300 or [1.5 hours (54,000 + 10,200)]. Estimated annual manufacturing overhead is $1,585,316. Thus, the predetermined overhead rate is $16.46or ($1,585,316 96,300) per direct labor hour. The direct materials cost per unit is $18.50 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

Cost Drivers

Estimated Overhead

Estimated Use of

Cost Drivers

Home

Commercial

ReceivingPounds$90,450

335,000

215,000

120,000

FormingMachine hours150,850

35,000

27,000

8,000

AssemblingNumber of parts401,450

217,000

165,000

52,000

TestingNumber of tests52,020

25,500

15,500

10,000

PaintingGallons63,096

5,258

3,680

1,578

Packing and shippingPounds827,450

335,000

215,000

120,000

$1,585,316

(a)

Under traditional product costing, compute the total unit cost of each product.(Round answers to 2 decimal places, e.g. 12.50.)

Home Model

Commercial Model

Total unit cost$

enter a dollar amount rounded to 2 decimal places

$

enter a dollar amount rounded to 2 decimal places

eTextbook and Media