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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 Machine-hours Number of setups Number of products Direct labor-hours Estimated Overhead Cost Product Y Product Z $ 213,400 Expected Activity 11,000 MHs 140 setups $ 61,600 $ 78,000 $ 244,000 10,000 DLHS 2 products Activity Measure Machining Number of setups 7,400 60 3,600 80 Number of products Direct labor-hours 1 7,400 1 2,600 Foundational 4-11 (Algo) 11. Using the plantwide overhead rate, what percentage of the total overhead cost is allocated to Product Y and Product Z? (Round your intermediate calculations to 2 decimal places. Round your answers to 2 decimal places.) Product Y Product Z Total overhead cost % %
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