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Ellezrie, Incorporated, manufactures and sells two products: Product G8 and Product 00. Data concerning the expected production of each product and the expected total direct

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Ellezrie, Incorporated, manufactures and sells two products: Product G8 and Product 00. Data concerning the expected production of each product and the expected total direct labor-hours (DLHs) required to produce that output appear below: Expected Production Direct Labor-Hours Per Unit Total Direct Labor Hours Product G8 700 5.0 3,500 I Product 00 300 2.0 600 Total direct labor hours 4,100 The direct labor rate is $22.10 per DLH. The direct materials cost per unit for each product is given below: Direct Materials Cost per Unit Product G8 $ 113.10 Product 00 $ 113.50 The company is considering adopting an activity-based costing system with the following activity cost pools, activity measures, and expected activity: $ 113.10 Product GS Product 00 $ 113.50 The company is considering adopting an activity-based costing system with the following activity cost pools, activity measures, and expected activity Activity Cost Activity Estimated Expected Pools Measures Overhead Cost Activity Total Product GS Product 00 600 4,100 Labor-related 15 3,500 $ 55,555 1,000 400 600 54,390 Machine setups setups 9,900 5,100 Order site MHS 365,508 4,800 $475,453 Which of the following statements concerning the unit product cost of Product Go is true? (Round your intermediate calculations to decimalla The unit product cost of Product GB under traditional costing is less than its unit product cost under activity-based costing by $227.80 The unit product cost of Product G8 under traditional costing is less than its unit product cost under activity-based costing by $347.88 The unit product cost of Product G8 under traditional costing is greater than its unit product cost under activity based costing by $347.88 The unit product cost of Product G8 under traditional costing is greater than its unit product cost under activity-based costing by 5227.80

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