PLS HELP! THANK YOU!

Fogerty Company makes two productsHubs and Sprockets. Data regarding the two products follow:

	Direct Labor-Hours per Unit	Annual Production
Hubs	0.80	10,000 units
Sprockets	0.40	40,000 units

Additional information about the company follows:

1. Hubs require $32 in direct materials per unit, and Sprockets require $18.
2. The direct labor wage rate is $15 per hour.
3. Hubs are more complex to manufacture than Sprockets and they require special processing.
4. The companys activity-based absorption costing system has the following activity cost pools:

	Estimated		Expected Activity
Activity Cost Pool (and Activity Measure)	Overhead Cost		Hubs	Sprockets	Total
Machine setups (number of setups)	$	72,000	100	300	400
Special processing (machine-hours)	$	200,000	5,000	0	5,000
General factory (Direct labor-hours)	$	816,000	8,000	16,000	24,000

1. Compute the activity rate for each activity cost pool.

Activity Cost Pool Activity Rate

Machine setups ____ per set up

Special Processing. ____per MH

General Factory. _____per DLH

2. Compute the unit product cost for Hubs and Sprockets using activity-based absorption costing. (Do not round intermediate calculations. Round your answers to 2 decimal points.)

Hubs Sprockets

Direct materials ______ ______

Direct labor ______ ______

Manufacturing overhead ______ ______

Unit product cost ______ ______