Elliot Page, Inc. manufactures and sells two products, backpacks and purses. Annual sales in units of each, labor time per unit and total manufacturing time per year are described below: Hours Backpacks: 2,000 units * 5 hrs 10,000 Purses: 10,000 units * 4 hrs. 40,000 Total hours 50,000 Backpacks Purses Direct materials $25 $17 Direct labor 30 24 Total overhead $800,000 Breakdown of overhead costs: Estimated Total Backpacks Purses Costs Activity Labor related (labor hours) $ 80,000 50,000 10,000 40,000 Machine setups(# of setups) 150,000 5,000 3,000 2,000 Product testing (# of tests) 160,000 8,000 5,000 3,000 Production orders(# of orders 70,000 400 100 300 Material receipts (# of receipts) 90,000 750 150 600 General factory (machine hrs) 250,000 40,000 12,000 28,000

1. determine the manufacturing overhead rate that would be used if Elliot page, inc. used the standard costing method.

2. determine the total amount of overhead allocated to each product using standard costing.

3. determie the product costs for backpacks and purses, using the standard rate-verhead cost per unit, and total cost per unit.

4. determine the manufacturing overhead rate for each of the six cosst pools using the ABC costing method.

5. determine the total amount of overhead allocated to each product using ABC.

6. determine the product costs for backpacks and purses using the ABC rate-overhead cost per unit, and total cost per unit.