FireOut Inc. manufactures steel cylinders and nozzles for two models of fire extinguishers: (1) a home fire extinguisher and (2) a commercial fire extinguisher. The home model is a high-volume (50,000 units), half-litre cylinder that holds 2.5 kilograms of multi-purpose dry chemical at 480 PSI (pounds per square inch). The commercial model is a low-volume (9,880 units), two-litre cylinder that holds 10 kilograms of multi-purpose dry chemical at 390 PSI. Both products require 1.25 hours of direct labour for completion. Therefore, total annual direct labour hours are 74,850 or [1.25 hrs. x (50,0009,880)]. Estimated annual manufacturing overhead is $1,497,000. Thus, the predetermined overhead rate is $20.00 or (S 1,497,000 74,850) per direct labour hour. The direct materials cost per unit is $19.14 for the home model and $27.16 for the commercial model. The direct labour cost is $20.20 per unit for both the home and commercial models. The company's managers identified six activity cost pools and related cost drivers, and estimated overhead by cost pool as follows: Estimated Estimated Use Overhead Estimated Use Activity Cost Pools Cost Drivers of Cost Drivers Receiving Forming Assembling Testing Painting Pac Kilograms Machine hours Number of parts Number of tests Litres $67,600 151,200 394,200 52,000 54,600 777,400 $1,497,000 338,000 217,000 36,000 28,000 219,000 166,000 26,000 16,000 6,000 4,000 338,000 217,000 of Drivers by Product Home Commercial 121,000 8,000 53,000 10,000 2,000 121,000 king and shipping Kilograms