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Problem 7-20 Crane Visuals produces tablets and books. Total overhead costs traditionally have been allocated on the basis of direct labor hours. After implementing activity-based

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Problem 7-20 Crane Visuals produces tablets and books. Total overhead costs traditionally have been allocated on the basis of direct labor hours. After implementing activity-based costing, managers determined the felowin cost pools and cost drivers. They also decided that general costs should no longer be allocated to products Department Activity Pool Costs Binding Printing Product design General $267,938 829,312 213,180 627,836 $1,938,266 Cost Driver Number of units Machine hours Change orders Nore Total overhead costs Other information is as follows Tablets Books 63,000 20,300 53.13 $10.25 $3.92$7.82 25,300 16,500 126,000 120,000 1,300 2,600 Units Direct materials cost per unit Direct labor cost per unit Direct labor hours Machine hours Change orders Colculate predetermined Ot rate. (Round answer to 2 decimal places e.g. 15.25.) Predetermined Ot rate DLH ment Calculate predetermined OH rate. (Round answer to 2 decimal places, e.g. 15.25) Predetermined OH rate /DLH LINK TO TEXT LINK TO VIDEO Determine the unit product cost for tablets and books using the traditional costing system. (Round overhead rate and final answers t Tablets Books Unit product cost LINK TO VIDEO LINK TO TEXT Calculate ABC rates. (Round answers to 2 decimal places, e.g. 15.25.) ABC rates Binding Printing Product design $ /unit /machine hour /change order ent Product design $ /change order LINK TO TEXT LINK TO VIDEO Determine the unit product cost for Tablets and Books using the activity-based costing system. (Round all rates and finai ansu Tablets Books Total unit cost LINK TO VIDEO LINK TO TEXT Show that General cost is the difference between the total overhead costs allocated to products under the traditional system and the (Round answers to 0 decmial places, e.g. 1,525.) Traditional ABC Difference Total allocated overhead LINK TO VIDEO LINK TO TEXT

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