Problem 2A-4 (Algo) Activity-Based Absorption Costing as an Alternative to Traditional Product Costing [LO2-5) Elix 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 0.2 DLHS per unit 0.4 DLHS per unit Annual Production 24,000 unita 44,000 units Total Direct Labor-Hour 4,800 DLHS 17,600 DLHS 22,400 DLS Additional Information about the company follows: 3. Model X200 requires $35 in direct materials per unit, and model X99 requires $34. b. The direct labor workers are paid $20 per hour. c. The company has always used direct labor-hours as the allocation base for applying 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 follows: Estimated Total activity Activity Cost Pool Machine setup Special processing General factory Activity Measure Number of setups Machine-hours Direct labor-hours Estimated Total cost $ 222.000 303,000 672,000 $1,197,000 x200 X99 120 180 1.010 0 4,800 17,600 Total 300 1,010 22,400 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. a. Compute the activity rate for each activity cost pool and determine the amount of overhead cost that would be applied to each model using the activity-based approach. b. Compute the unit product cost of each model. Complete this question by entering your answers in the tabs below. Reg 1A Reg 1B Req ZA Part 1 Req ZA 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 rato 84,928 por DLH Rng ta Req 18>