Exercise 17-19 (Algo) Activity-based costing to compute activity rates, overhead cost per unit, and product cost per unit LO P3 Northwest Company produces two types of glass shelving: rounded edge and squared edge. The company reports the following cost data. Rounded Edge Direct materials $41,400 Direct labor 13,800) Overhead (uning plantwide rate) 40,000 Squared Edge $ 53,400 35,600 90,400 Total $94,800 49,400 138,400 Total product cost $103,200 $179,400 $282,600 Units produced Product cost per unit 13,800 $ 7.40 17,800 $10.08 Northwest's controller wants to apply activity-based costing to allocate the $138,400 of overhead cost to the two products to see whether product cost per unit would change markedly from that above. The company's budgeted activity usage equals its actual activity usage for the period. The following additional information is collected. Activity Purchasing Budgeted Cost $7,300 Depreciation of machinery 71,000 Activity Cost Driver Purchase orders Machine hours Rounded Edge 204 orders 500 hours Setup 59,300 Setups Total $138,400 40 setups Activity Usage Squared Edge 526 orders 1,500 hours 210 setups Total 730 ordere 2,000 hours 250 setups Required: 1. Compute the activity rate for each activity using activity-based costing. 2. Compute overhead cost per unit for each of the two products using activity-based costing 3. Determine product cost per unit for each of the two products using activity-based costing Complete this question by entering your answers in the tabs below. Purchasing Depreciation of machinery Setup: Total $ 7,300 71,800 59,300 Purchase orders Machine hours Setups 204 orders 500 hours 40 setups $ 138,400 Required: 1. Compute the activity rate for each activity using activity-based costing. 2. Compute overhead cost per unit for each of the two products using activity-based costing 3. Determine product cost per unit for each of the two products using activity-based costing. Complete this question by entering your answers in the tabs below. 526 orders 1,500 hours 210 setups 730 orders 2,000 hours 250 setups Ch Required 1 Required 2 Required 3 Compute the activity rate for each activity using activity-based costing. (Round "Activity rate" to 2 decimal places.) Activity Purchasing Depreciation Setup Budgeted Cost Budgeted Activity Usage Activity Rate 2 ts Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Compute overhead cost per unit for each of the two products using activity-based costing. (Round "Activity Rate" to 2 decimal places and other answers to the nearest whole dollar amount.) eBook Overhead cost per unit-Rounded Edge Hint Activity Activity Usage Print eferences Purchasing Depreciation Setup Total allocated cost Units produced Overhead cost per unit Overhead cost per unit-Squared Edge Activity Purchasing Depreciation Setup Total allocated cost Units produced Overhead cost per unit Activity Rate Allocated Cost $ 0 Activity Usage Activity Rate Allocated Cost 0 $ 0 0 Purchasing Setup Depreciation of machinery 71,800 59,300 Machine hours Setups 500 hours 40 setups 1,500 hours 210 setups 2,000 hour 250 setup $ 138,400 Total Required: 1. Compute the activity rate for each activity using activity-based costing. 2. Compute overhead cost per unit for each of the two products using activity-based costing. 3. Determine product cost per unit for each of the two products using activity-based costing. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Determine product cost per unit for each of the two products using activity-based costing. (Round intermediate calculations and final answers to 2 decimal places.) Per Unit Direct Materials Rounded Edge Squared Edge Direct Labor Overhead Product Cost per Unit