Lily Fire. Inc. manufactures steel cylinders and nozzles for two models of fire extinguishers: (1) a home fire extinguisher and (2) a commercial fire extinguisher. The home model is a high-volume (54,000 units), half-gallon cylinder that holds 2 1/2 pounds of multi- purpose dry chemical at 480 PSI. The commercial model is a low-volume (10,200 units), two-gallon cylinder that holds 10 pounds of multi-purpose dry chemical at 390 PSI. Both products require 1.5 hours of direct labor for completion. Therefore, total annual direct labor hours are 96,300 or (1.5 hours (54,000 + 10,200)). Estimated annual manufacturing overhead is $1,575,500. Thus, the predetermined overhead rate is $16.36 or ($1,575,500 +96,300) per direct labor hour. The direct materials cost per unit is $18,50 for the home model and $26.50 for the commercial model. The direct labor cost is $19 per unit for both the home and the commercial models The company's managers identified six activity cost pools and related cost drivers and accumulated overhead by cost pool as follows. Use of Drivers by Product Estimated Use of Cost Drivers Cost Drivers Estimated Overhead Home Commercial Activity Cost Pools Receiving Pounds $87.100 335,000 215.000 120,000 Machine hours 151,900 35,000 27.000 8,000 Forming Assembling Number of parts 410,130 217,000 165,000 52,000 Testing Number of tests 53.040 25,500 15,500 10,000 Painting Gallons 52.580 5.258 3.680 1.578 Packing and shipping Pounds 820.750 335.000 215.000 120.000 $1.575.500 (a) Your answer is correct Under traditional product costing, compute the total unit cost of each product. (Round answers to 2 decimal places, eg. 12.50.) Home Model Commercial Model Total unit cost 6204 69.97 eTextbook and Media Attempts: 3 of 5 used Your answer is correct Under ABC, prepare a schedule showing the computations of the activity-based overhead rates (per cost driver). (Round overhead rate to 2 decimal places, eg. 12.25.) ivity Pool Estimated Overhead Estimated Use of Cost Drivers Activity-Based Overhead Rate ving $ 87,100 335,000 Pounds $ 0.26 per pound ing 151,900 35,000 Machine hours $ 434 per machine hour nbling 410.130 217.000 Parts s 189 per part og 53.040 25,500 Tests $ 208 per test ing 52,580 5,258 Gallons $ 10 per gallon ng 120.750 335.000 Pounds $ 245 per pound ing S 1.575.500 (C) Prepare a schedule assigning each activity's overhead cost pool to each product based on the use of cost drivers. (Round overhead cost per unit to 2 decimal places es. 12.25 and cost assigned to O decimal places es 2,500.) Home Model Activity-Based Overhead Rates Activity Cost Pool Use of Drivers by Product Use of by Pre Cost Assigned Receiving $ $ Forming $ Assembling $ Testing $ Painting $ Packing and shipping $ Total costs assigned (a) $ Units produced (b) Overhead