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Greenwood Company manufactures two products-15,000 units of Product Y and 7,000 units of Product Z. The company uses a plantwide overhead rate based on
Greenwood Company manufactures two products-15,000 units of Product Y and 7,000 units of Product Z. The 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: Activity Cost Pool Machining Machine setups Production design General factory Activity Measure. Machining Activity Measure Machine-hours Number of setups Number of products Direct labor-hours Estimated Overhead Cost Product Y Product z $ 221,100 $ 107,100 Expected Activity 11,000 MHS 210 setups $ 85,000 $ 251,000 2 products 10,000 DLHS Number of setups 8,100 50 2,900 160 Number of products Direct labor-hours 11 8,100 1 1,900 Foundational 4-14 (Algo) 14. Using the ABC system, what percentage of the Product Design cost is assigned to Product Y and Product Z? (Round your answers to 2 decimal places.) Product Y Product Z Product design cost
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