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EMD Corporation manufactures two products, Product S and Product W. Product W is of fairly recent origin, having been developed as an attempt to enter

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EMD Corporation manufactures two products, Product S and Product W. Product W is of fairly recent origin, having been developed as an attempt to enter a market closely related to that of Product W. Product W is the more complex of the two products, requiring 3 hours of direct labor time per unit to manufacture compared to 2 hour of direct labor time for Product S. Product W is produced on an automated production line. Overhead is currently assigned to the products on the basis of direct-labor-hours. The company estimated it would incur $1,018.066 in manufacturing overhead costs and produce 10,800 units of Product W and 54,000 units of Product S during the current year. Unit cost for materials and direct labor are: Product S $ 12 Direct material Direct labor Product W $ 33 15 Required: a-1. Compute the predetermined overhead rate under the current method of allocation. a-2. Determine the unit product cost of each product for the current year. b. The company's overhead costs can be attributed to four major activities. These activities and the amount of overhead cost attributable to each for the current year are given below: Activity Cost Pool Machine setups required Purchase orders issued Machine-hours required Maintenance requests issued Total Cost $ 440, 860 53, 430 203,610 320,166 $1,018, 066 Product S 1,560 569 7,310 749 Total Activity Product W 1,730 116 11,200 945 Total 3,290 685 18,510 1,694 Using the data above and an activity-based costing approach, determine the unit product cost of each product for the current year. Compute the predetermined overhead rate under the current method of allocation. (Round your answer to 2 decimal places.) Predetermined overhead rate per DLH Determine the unit product cost of each product for the current year. (Round your answers to 2 decimal places.) Unit Product Cost Product S Product W Using the data above and an activity-based costing approach, determine the unit product cost of each product for the current year. (Round your answer to 2 decimal places.) Unit Product Cost Products Product W

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