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Daba Company manufactures two products, Product F and Product G. The company expects to produce and sell 2,800 units of Product F and 3,200 units
Daba Company manufactures two products, Product F and Product G. The company expects to produce and sell 2,800 units of Product F and 3,200 units of Product G during the current year. The company uses activity-based costing to compute unit product costs for external reports. Data relating to the company's three activity cost pools are given below for the current year:
Estimated | Expected Activity | |||||||
Activity Cost Pool | Overhead Cost | Product F | Product G | Total | ||||
Machine setups | $ | 17,600 | 132 | setups | 88 | setups | 220 | setups |
Purchase orders | $ | 107,520 | 784 | orders | 1,456 | orders | 2,240 | orders |
Order size | $ | 62,000 | 1,290 | hours | 1,190 | hours | 2,480 | hours |
Required:
Using the activity-based costing approach, determine the overhead cost per unit for each product. (Round your answers to 2 decimal places.)
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