Franklin Electronics produces video games in three market categories commercial, home, and miniature Franklin has traditionally allocated overhead costs to the three products using the companywide allocation base of direct labor hours The company recently implemented an ABC system when it installed computer controlled assembly stations that rendered the traditional costing system ineffective In implementing the ABC system, the company identified the following activity cost pools and cost drivers Category Total Pooled Cost Types of Costs Cost Driver Unit $ 852,600 Indirect labor wages, supplies, factory utilities, machine maintenance Machine hours Batch 369,500 Materials handling, inventory storage, labor for setups,packaging, labeling and shipping, scheduling Number of production orders Product 210,300 Research and development Time spent by research department Facility 487,600 Rent, general utilities, maintenance, facility depreciation, admin salaries Square footage Additional data for each of the product lines follow Commercial Home Miniature Total Direct materials cost $ 36 30 unit $ 23 20 unit $ 30 90 unit Direct labor cost $ 14 50 hour $ 14 50 hour $ 18 30 hour Number of labor hours 6,000 11,700 1,500 19,200 Number of machine hours 20,000 47,000 20,000 87,000 Number of production orders 250 1,800 550 2,600 Research and development time 12 21 67 100 Number of units 19,000 45,000 18,000 82,000 Square footage 24,000 52,000 16,000 92,000 Required Determine the total cost and cost per unit for each product line, assuming that overhead costs are allocated to each product line using direct labor hours as a companywide allocation base Also determine the combined cost of all three product lines Determine the total cost and cost per unit for each product line, assuming that an ABC system is used to allocate overhead costs Determine the combined cost of all three product lines (For all requirements, round intermediate calculations for allocation rates to 2 decimal places and all other calculations to the nearest whole dollar Round Cost per Unit to 2 decimal places Round your answers for Total Cost to the nearest whole dollar amount )

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Franklin Electronics produces video games in three market categories: commercial, home, and miniature. Franklin has traditionally allocated overhead costs to the three products using the

Franklin Electronics produces video games in three market categories: commercial, home, and miniature. Franklin has traditionally allocated overhead costs to the three products using the companywide allocation base of direct labor hours. The company recently implemented an ABC system when it installed computer-controlled assembly stations that rendered the traditional costing system ineffective. In implementing the ABC system, the company identified the following activity cost pools and cost drivers:

Category	Total Pooled Cost		Types of Costs	Cost Driver
Unit	$	852,600	Indirect labor wages, supplies, factory utilities, machine maintenance	Machine hours
Batch		369,500	Materials handling, inventory storage, labor for setups,packaging, labeling and shipping, scheduling	Number of production orders
Product		210,300	Research and development	Time spent by research department
Facility		487,600	Rent, general utilities, maintenance, facility depreciation, admin. salaries	Square footage

Additional data for each of the product lines follow:

	Commercial			Home			Miniature			Total
Direct materials cost	$	36.30	/unit	$	23.20	/unit	$	30.90	/unit
Direct labor cost	$	14.50	/hour	$	14.50	/hour	$	18.30	/hour
Number of labor hours		6,000			11,700			1,500			19,200
Number of machine hours		20,000			47,000			20,000			87,000
Number of production orders		250			1,800			550			2,600
Research and development time		12	%		21	%		67	%		100	%
Number of units		19,000			45,000			18,000			82,000
Square footage		24,000			52,000			16,000			92,000

Required

Determine the total cost and cost per unit for each product line, assuming that overhead costs are allocated to each product line using direct labor hours as a companywide allocation base. Also determine the combined cost of all three product lines.
Determine the total cost and cost per unit for each product line, assuming that an ABC system is used to allocate overhead costs. Determine the combined cost of all three product lines.

(For all requirements, round intermediate calculations for allocation rates to 2 decimal places and all other calculations to the nearest whole dollar. Round "Cost per Unit" to 2 decimal places. Round your answers for "Total Cost" to the nearest whole dollar amount.)