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Combat Fire, Inc. manufactures steel cylinders and nozzles for two models ofre extinguishers: {1} a home re extinguisher and (2} a commercial re extinguisher. The

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Combat Fire, Inc. manufactures steel cylinders and nozzles for two models ofre extinguishers: {1} a home re extinguisher and (2} a commercial re extinguisher. The home model is a highvolume (54,000 units], halfgallon cylinder that holds 2 1/2 pounds of multi purpose dry chemical at 480 PSI. The commercial model is a lowvolume (10,200 units], twogallon cylinder that holds 10 pounds of multipurpose 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 X [54,000 + 10200)]. Estimated annual manufacturing overhead is $1,570,138. Thus, the predetermined overhead rate is $16.30 or ($1,570,138 + 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 identied six activity cost pools and related cost drivers and accumulated overhead by cost pool as follows. Estimated Use of Drivers by Product Estimated Use of Activity Cost Pools Cost Drivers Estimated Overhead Cost Drivers Home Commercial Receiving Pounds $83,750 335,000 215,000 120,000 Forming Machine hours 150,850 35,000 27,000 8,000 Assembling Number of parts 403,620 217,000 165,000 52,000 Testing Number of tests 49,980 25,500 15,500 10,000 Painting Gallons 57,838 5,258 3,680 1,578 Packing and shipping Pounds 824,100 335,000 215,000 120,000 $1,570,138 Ia) Under traditional product costing, compute the total unit cost of each product. {Round answersto 2 decimal places, es. 12.50.} Home Model Commercial Model Total unit cost $ $ Under ABC, prepare a schedule showing the computations of the activity-based overhead rates (per cost driver). (Round overhead rate to 2 decimal places, e.g. 12.25.) Activity Cost Pool Estimated Expected Activity-Based Overhead Use of Cost Drivers Overhead Rate X Receiving Pounds per pound Forming Machine hours per machine hour Assembling Parts per part Testing Tests per test EX Painting Gallons per gallon X Packing and shipping 000 Pounds per pound Prepare a schedule assigning each activity's overhead cost pool to each product based on the use of cost drivers. (Round overhead cost per unit to 2 decimal places, e.g. 12.25 and cost assigned to 0 decimal places, e.g. 2,500.) Home Model Commercial Model Activity Cost Pool Expected Use of Activity-Based Drivers Cost Assigned Expected Use of Activity-Based Overhead Rates Drivers Overhead Rates Cost Assigned Receiving X Forming Assembling 000000 X Testing Painting Packing and shipping Total costs assigned (a) Units produced (b) Overhead cost per unit [(a) + (b)] Compute the total cost per unit for each product under ABC. (Round answer to 2 decimal places, e.g. 12.25.) Home Model Commercial Model x Total cost per unit

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