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eBook Calculator Print Item Activity-Based Costing and Product Cost Distortion Handbrain Inc. is considering a change to activity-based product costing. The company produces two products,

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eBook Calculator Print Item Activity-Based Costing and Product Cost Distortion Handbrain Inc. is considering a change to activity-based product costing. The company produces two products, cell phones and tablet PCs, in a single production department. The production department is estimated to require 4,000 direct labor hours. The total Indirect labor Is budgeted to be $571,200. Time records from indirect labor employees revealed that they spent 60% of their time setting up production runs and 40% of their time supporting actual production The following information about cell phones and tablet PCs was determined from the corporate records: Number Direct Labor Hours of Setups Units 1,600 Cell phones Tablet PCS 2,000 2,000 800 84,000 84,000 168,000 Total 2,400 4,000 If required, round your answers to the nearest cent. a. Determine the Indirect labor cost per unit allocated to cell phones and tablet PCs under a single plantwide factory overhead rate system using the direct labor hours as the allocation base Cell phones $ per unit Tablet PCs per unit b. Determine the budgeted activity costs and activity rates for the indirect labor under activity-based costing. Assume two activities one for setup and the other for production support Budgeted Activity Cost Activity Rate Setup per setup per direct labor hour Production support c. Determine the activity cost per unit for indirect labor allocated to each product under activity-based costing eBook Print Item Calculator Judo 27 Coin Pori 57000 Tablet PCs 800 2,000 4,000 84,000 168,000 Total 2,400 per unit per unit If required, round your answers to the nearest cent. a. Determine the Indirect labor cost per unit allocated to cell phones and tablet PCs under a single plantwide factory overhead rate system using the direct labe the allocation base Cell phones Tablet PCS b. Determine the budgeted activity costs and activity rates for the Indirect labor under activity-based costing. Assume two activities--one for setup and the othe production support. Budgeted Activity Cost Activity Rate Setup per setup Production support per direct labor hour c. Determine the activity cost per unit for indirect labor allocated to each product under activity-based costing. Cell phones per unit Tablet PCs per unit

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