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please help answer this question Ellix Company manufactures two models of ultra-high fidelity speakers-the X200 model and the X99 model. Data regarding the two products
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Ellix Company manufactures two models of ultra-high fidelity speakers-the X200 model and the X99 model. Data regarding the two products follow Product X200 x99 Direct Labor-Hours 0.3 DLHS per unit 0.5 DLHS per unit Annual Production 16,000 units 41,000 units Total Direct Labor-Hour's 4,500 DLHS 20.500 DLHS 25,300 OCHS Additional information about the company follows: a Model X200 requires $39 in direct materials per unit, and model X99 requires $28 b. The direct labor workers are paid $60 per hour c. The company has always used direct labor-hours as the allocation base for opplying manufacturing overhead cost to products, d. Model X200 is more complex to manufacture than model X99 and requires the use of special equipment e. Because of the special work required in (d) above, the company is considering the use of activity based absorption costing to apply manufacturing overhead cost to products. Three activity cost pools have been identified as follodis: Estimated Total Activity Total X99 174 290 Activity Cost Pool Machine setups Special processing General factory Activity Measure Number of setups Machine-hours Direct labor-hours Estimated Total Cost 5 200,100 320,100 1,771,000 $ 2,291,200 X200 116 970 4,300 20,500 970 25, 308 Required: 1. Assume that the company continues to use direct labor hours as the allocation base for applying overhead cost to products a. Compute the plantwide predetermined overhead rate b. Compute the unit product cost of each model 2. Assume that the company decides to use activity based absorption costing to apply overhead cost to products, o. Compute the activity rate for each activity cost pool and determine the amount of overhead cout that would be applied to each model using the activity based opproach b. Compute the unit product cost of each model Complete this question by entering your answers in the tabs below. Req IA Reg 18 Req 2A Part 1 Req 2A Part 2 Reg 28 Assume that the company continues to use direct labor-hours as the allocation base for applying overhead cost to products. Compute the plantwide predetermined overhead rate. (Round your answer to the nearest whole dollar) Predetermined overhead rata Req 18 > I per DLH w us onwers in the tabs below. Reg 1A Reg 1B Reg 2a Part 1 Req 2A Part 2 Reg 28 Assume that the company continues to use direct labor-hours as the allocation base for applying overhead cost to products. Compute the unit product cost of each model. (Round "Predetermined overhead rate to nearest dollar amount. Round other intermediate calculations and final answers to 2 decimal places.) Model x200 X99 Unit product cost Reg 1A Req 18 Req 2A Part 1 Red 2A Part 2 Reg 25 Assume that the company decides to use activity-based absorption costing to apply overhead cost to products. Compute the activity rate for each activity cost pool. Activity Cost Pool Activity Rate Machine setups Special processing General factory per setup per MH per DLH Ash Req 1A Reg 1B Req 2A Part 1 Req2A PA 2 Reg 26 Pet rences Assume that the company decides to use activity-based absorption costing to apply overhead cost to products. Determine the amount of overhead cost that would be applied to each model using the activity based approach. (Round "Overhead cost per unit answers to 2 decimal places.) Model X200 | Model X99 Total overhead cost Overhead cost per unit 2017 Reg 1A Reg 10 Reg 2A Part 1 Req 2A Part 2 9920 Assume that the company decides to use activity-based absorption costing to apply overhead cost to products. Compute the unit product cost of each model: (Round your intermediate calculations and final answers to 2 decimal places) Unit product cost of Model X200 Unit product cost of Model X99 Step by Step Solution
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