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Faz, Incorporated, manufactures and sells two products: Product XO and Product W7. Data concerning the expected production of eac product and the expected total direct
Faz, Incorporated, manufactures and sells two products: Product XO and Product W7. Data concerning the expected production of eac product and the expected total direct labor-hours (DLHS) required to produce that output appear below. Product XO Product W7 Total direct labor-hours Expected Direct Labor. Total Direct Production Hours Per Unit Labor-Hours 1,000 4 4, 496 3 1,476 5,470 The direct labor rate is $28.60 per DLH. The direct materials cost per unit is $153.50 for Product XO and $135 for Product W7. The company is considering adopting an activity-based costing system with the following activity cost pools, activity measures, and e activity: Activity Cost Pools Labor-related Production orders Order size Activity Measures DLHS orders MHS Estimated Expected Activity Overhead Cost Product XO Product W7 Total $ 281,078 4,000 1,470 5,470 19,848 590 790 1,380 247,094 4,090 4,190 8, 280 $ 548, 020 The overhead applied to each unit of Product XO under activity-based costing is closest to: (Round your Intermediate calculations decimal places.) Multiple Choice $336.09 per unit $122.05 per unit $343.32 per unit $400 75 ner unit
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