Problem 4-12 Contrasting ABC and Conventional Product Cost [LO4-2, L04-3, LO4-4) Precision Manufacturing Inc. (PMI) makes two types of Industrial component partsthe EX300 and the TX500. It annually produces 62,000 units of EX300 and 12,700 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: Direct materials Direct labor EX300 $368, 325 $ 122,000 TX5ee $164,550 $ 43,500 Total $532,875 $165,500 The company is considering Implementing an activity-based costing system that distributes all of its manufacturing overhead to four activities as shown below: Activity Activity Cost Pool (and Activity Measure) Machining (machine-hours) Setups (setup hours) Product-level (number of products) General factory (direct labor dollars) Total manufacturing overhead cost Manufacturing Overhead $217,700 170, 100 92,150 66,200 $546,150 EX300 92,eee 85 1 $122,000 TX5e 63,5ee 320 1 $43,500 Total 155, 5ee 405 2 $165,500 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. 2-6. Using the activity rates, compute the unit product cost for each product. Complete this question by entering your answers in the tabs below. Reg 1A Reg 1B Reg 2A Reg 28 Compute the plantwide overhead rate that would be used in the company's conventional cost system. (Round your answer to 2 decimal places.) Predetermined overhead rate per DLS Req 1A Req 1B > Reg 1A Reg 1B Reg 2A Reg 2B Using the plantwide rate, compute the unit product cost for each product. (Round your intermediate calculations and final answers to 2 decimal places.) EX300 TX500 Unit product cost Reg 14 Reg 1B Reg 2A Reg 2B Compute the activity rate for each activity cost pool. (Round your Machining and General factory activity rates to 2 decimal places.) Activity Cost Pools Activity Rate Machining per MHR Setups per setup hr. Product-level per product General factory per DLS Reg 1A Reg 1B Reg 2A Req 28 Using the activity rates, compute the unit product cost for each product. (Round your intermediate calculations and final answers to 2 decimal places.) EX300 TX500 Unit product cost