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Greenwood Company manufactures two products-14,000 units of Product Y and 6,000 units of Product Zine company uses a plantwide overhead rate based on direct labor-hours.

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Greenwood Company manufactures two products-14,000 units of Product Y and 6,000 units of Product Zine company uses a plantwide overhead rate based on direct labor-hours. It is considering implementing an activity. based costing (ABC) system that allocates all of its manufacturing overhead to four cost pools. The following additional information is available for the company as a whole and for Products Y and Z: Estimated Overhead Expected Activity Cost Pool Activity Measure Cost Activity Machining Machine-hours $ 200,000 10,000 MHS Machine setups Number of setups 100,000 200 setups Production design Number of products 84,000 2 products General factory Direct labor-hours 300,000 12,000 DLHS $ $ $ Activity Measure Machining Number of setups Number of products Direct labor-hours Product Y 8,000 40 1 9,000 Product z 2,000 160 1 3,000 8. Which of the four activities is a product-level activity? General factory activity Machine setups activity Product design activity

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