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Hickory Company manufactures two products 1 4 , 0 0 0 units of Product Y and 6 , 0 0 0 units of Product Z

Hickory Company manufactures two products14,000 units of Product Y and 6,000 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 $705,600 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 Activity Measure Estimated Overhead Cost Expected Activity
Machining Machine-hours $ 192,00010,000 MHs
Machine setups Number of setups $ 50,400120 setups
Product design Number of products $ 76,0002 products
General factory Direct labor-hours $ 387,20012,000 DLHs
Activity Measure Product Y Product Z
Machine-hours 6,2003,800
Number of setups 5070
Number of products 11
Direct labor-hours 10,0002,000
Foundational 7-12(Algo)
12. Using the ABC system, what percentage of the Machining costs is assigned to Product Y and Product Z?
Note: Round intermediate calculations and your "Percentage" answers to 2 decimal places.

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