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Precision Manufacturing Incorporated (PMI) makes two types of industrial component parts - the EX300 and the TX500. It annually produces 59,000 units of EX 300

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Precision Manufacturing Incorporated (PMI) makes two types of industrial component parts - the EX300 and the TX500. It annually produces 59,000 units of EX 300 and 12,400 units of TX500. The company's conventional cost system allocates manufacturing overhead to products using a plantwide overhead rate and direct labor dollars as the allocation base. Additional information relating to the company's two product lines is shown below: The company is considering implementing an activity-based costing system that distributes all of its manufacturing overhead to four activities as shown below: Required: 1-a. Compute the plantwide overhead rate that would be used in the company's conventional cost system. 1b. Using the plantwide rate, compute the unit product cost for each product. 2-a. Compute the activity rate for each activity cost pool. 2-b. Using the activity rates, compute the unit product cost for each product. Complete this question by entering your answers in the tabs below. Compute the plantwide overhead rate that would be used in the company's conventional cost system. (Round your answer to 2 decimal places.) Precision Manufacturing Incorporated (PMI) makes two types of industrial component parts-the EX300 and the TX500. It an produces 59,000 units of EX 300 and 12,400 units of TX500. The company's conventional cost system allocates manufacturi overhead to products using a plantwide overhead rate and direct labor dollars as the allocation base. Additional information the company's two product lines is shown below: The company is considering implementing an activity-based costing system that distributes all of its manufacturing overheac activities as shown below: Required: 1-a. Compute the plantwide overhead rate that would be used in the company's conventional cost system. 1-b. Using the plantwide rate, compute the unit product cost for each product. 2-a. Compute the activity rate for each activity cost pool. 2-b. Using the activity rates, compute the unit product cost for each product. Complete this question by entering your answers in the tabs below. Using the plantwide rate, compute the unit product cost for each product. (Round your intermediate calculations and final answers to 2 decimal places.)

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