Ellix Company manufactures two models of ultra-high fidelity speakers, the X200 model and the X99 model. Data regarding the two products follow: Product X200 X99 Direct labor hours 4 DLHs per unit .6 DLHs per unit Annual production 20,000 Units 49,000 Units Total Direct Labor Hours 8,000 DLHs 19,600 DLHS 37,400 DLHS Additional information about the company follows: a: Model X200 requires $44 in direct materials per unit, and model X99 requires $23. b. The direct labor rate is $30 per hour. c. The company has always used direct labor-hours as the base for applying manufacturing overhead cost to products. d. Model X200 is more complex to manufacture than model X99 and requires the use of a special equipment. e. Because of the special work required in (d) above, the company is considering the use of activity based costing to apply manufacturing overhead cost to products. Three activity cost pools have been identified as follows: Estimated Total Activity Activity Cost Pool Machine setups Special processing General factory Activity Measure Number of setups Machine-hours Direct labor-hours Estimated Total Cost $192,500 273,000 800,000 $1,265,500 X200 150 1,050 4,000 X99 100 0 16,000 Total 250 1,050 20,000 Requirement 1: Assume that the company continues to use direct labor-hours as the base for applying overhead cost to products (a) Compute the predetermined overhead rate. (Round your answer to the nearest dollar amount. Omit the "$" sign in your response.) Predetermined overhead rate $ per DLH (b) Compute the unit product cost of each model. (Round your answers to 2 decimal places. Omit the "$" sign in your response.) Model X200 X99 Unit product Cost Requirement 2: Assume that the company decides to use activity-based costing to apply overhead cost to products. (a) Compute the activity rate for each activity cost pool and determine the amount of overhead cost that would be applied to each model. (Leave no cells blank - be certain to enter"0" wherever required. Round the Overhead cost per unit to 2 decimal places. Omit the "S" sign in your response.) Activity cost Pool Machine setups Special processing General factory Activity Rate Per setup Per MH Per DLH Model X200 Overhead Applied Activity Cost Pool Machine setups Special processing General factory Total manufacturing overhead cost Overhead cost per unit Model X99 Overhead Applied Activity Cost Pool Machine setups Special processing General factory Total manufacturing overhead cost Overhead cost per unit $ (b) Compute the unit product cost of each model. (Round your answers to 2 decimal places. Omit the "$" sign in your response.) Unit product cost of Model X200 Unit product cost of Model X99
