E4-16 (Algo) Calculate Total Manufacturing Costs and Gross Profit (LO 4-4) Rosehut Olive Oil Company makes two grades of olive oil: standard and extra virgin. Rosehut has identified two activity cost pools, the related costs per pool, the cost driver for each pool, and the expected usage for each pool. Activity Washing, Pressing & Filtering (WPF) Bottling Total Activity Cost Cost Driver $1,778,400 Washing, Pressing, and Filtering hours $ 931,500 Number of bottles Standard 47, 400 hours 324,000 bottles Extra Virgin 108,600 hours 81,000 bottles Additional information about each grade of olive oil is as follows: Sales Grade Revenue Standard $5,160,000 Extra virgin $2,700,000 Direct Materials Costs $900,000 $600,000 Direct Labor Costs $375,000 $150,000 Required: 1. Calculate the activity rate for each cost pool. 2. Using the activity rates, determine the total amount of overhead assigned to each product. 3. Determine total manufacturing cost for each product. 4. Calculate the gross profit for each product. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Calculate the activity rate for each cost pool. (Round your answers to 2 decimal places.) Activity Cost Pool Washing, Pressing & Filtering (WPF) Bottling per bottle per hour Calculate the gross profit for each product. Standard Extra Virgin Revenue Cost of goods sold Gross Profit Required 1 Required 2 Required 3 Required 4 Determine total manufacturing cost for each product. Standard Extra Virgin Direct Materials Direct Labor ABC Overhead Total manufacturing costs Required 1 Required 2 Required 3 Required 4 Using the activity rates, determine the total amount of overhead assigned to each product. (Round activity rates to 2 decimal places.) Standard Extra Virgin Overhead Overhead Activity Activity Rate Activity for Standard assigned to Activity for Extra Virgin assigned to Standard Extra Virgin WPF Bottling Total