PA6. LO 6.3 Box Springs, Inc., makes two sizes of boxsprings: twin and double. The direct material for the twin is $25 per unit and $40 is used in direct labor, while the direct material for the double is $40 per unit, and the labor cost is $50 per unit. Box Springs estimates it will make 100,000 300,000 400,000 5,000 cost driver activities as follows: Activity Cost Pools Estimated Use per Use per Driver Overhead Twin Double Framing Padding Square feet of pine 2,000 210,000 5.000 Filling Square feet of quilting 220,000 120,000 Square feet of filling Labeling 320,000 500,000 Number of boxes Inspection 240,000 800,000 Number of inspections 170,000 12.000 How much does each unit cost to manufacture? Solution Activity Cost Estimated Total Activity Pools Driver Overhead Driver Rate Framing Padding Filling Labeling Inspection Twin Activity Activity Double Rate Twin Units Costs Units Activity Cost Pools Framing Padding Filling Labeling Inspection Total Number of units Overhead per unit Double Activity Costs