Current Attempt in Progress 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. The home model is a high-volume (54,000 units), half-gallon cylinder that holds 2 1/2 pounds of multi- purpose dry chemical at 480 PSI. 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 annual direct labor hours are 96,300 or (1.5 hours x (54,000 + 10,200)]. Estimated annual manufacturing overhead is $1,569,040. Thus, the predetermined overhead rate is $16.29 or ($1.569,040 + 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 Receiving Forming Assembling Testing Painting Packing and shipping Cost Drivers Pounds Machine hours Number of parts Number of tests Gallons Pounds Estimated Overhead $87.100 148,050 407.960 45.900 52.580 827,450 $1.569,040 Estimated Use of Cost Drivers 335.000 35,000 217,000 25.500 5.258 335.000 Home 215,000 27.000 165.000 15.500 3.680 215.000 Commercial 120.000 8,000 52.000 10,000 1.578 120.000 Question 10 of 10 0/1 Under ABC, prepare a schedule showing the computations of the activity-based overhead rates (per cost driver). (Round overhead rate to 2 decimal places, eg. 12.25.) Activity Estimated Estimated Activity-Based Cost Pool Overhead Use of Cost Drivers Overhead Rate Receiving $ Pounds $ Forming Machine hours per pour per mach hour $ Assembling Parts $ per! Testing Tests $ pert Gallons $ per gallo Painting Packing and shipping Pounds $ per pour S