Joy Toys produces two types of pogo sticks - a three foot stick and a six foot stick. The material for the three foot stick is $25 for the three foot and $40 per stick for the six foot stick. The cost of direct labor for the three foot stick is $40 per stick and $50 per stick for the fix foot stick.

Joy Toys estimates that it will sell 5,000 three foot sticks and 9,000 six foot sticks during 2023. They have determined their cost pools, activity driver and overhead for each activity as follows:

 

Activity Cost Pool Metal Cutting Color Dip Spring Attachment Custom Graphics Inspection Estimated Overhead Driver Feet of steel Ounces of paint Linear feet of spring Number of labels Number of inspections How much does each unit cost to manufacture? $ 210,000 $ 220,000 $ 320,000 $ 240,000 $ 170,000 Use for 3' Use for 6' stick stick 5,000 120,000 500,000 800,000 12,000 2,000 100,000 300,000 400,000 5,000