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Puget World, Incorporated, manufactures two models of television sets, the N 800 XL model and the N 500 model. Data regarding the two products follow:

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Puget World, Incorporated, manufactures two models of television sets, the N 800 XL model and the N 500 model. Data regarding the two products follow: Model N 800 XL Model N500 Direct Labor- Hours per Unit 3.0 1.0 Total Direct Annual Production Labor-Hours 7,000 units 21,000 12,000 units 12.000 33,000 Additional information about the company follows: a. Model N 800 XL requires $65 in direct materials per unit, and Model N 500 requires $25. b. The direct labor wage rate is $23 per hour. c. The company has always used direct labor-hours as the base for applying manufacturing overhead cost to products. d. Model N 800 XL is more complex to manufacture than Model N 500 and requires the use of special equipment. Consequently, the company is considering the use of activity-based costing to assign manufacturing overhead cost to products. Three activity cost pools have been identified as follows: Activity Cost Pool Machine setups Special processing General factory Activity Measure Number of setups Machine-hours Direct labor-hours Estimated Overhead Cost $ 470,000 190,000 1,782,000 $ 2,442,000 Activity Measure Number of setups Machine-hours Direct labor-hours Model N 800 XL 200 20,000 21,000 Expected Activity Model N 500 300 0 12,000 Total 500 20,000 33,000 Reg 1A Reg 1B Assume that the company continues to use direct labor-hours as the base for applying overhead cost to products, Compute the predetermined overhead rate. (Round your answer to 2 decimal places.) Predetermined overhead rato per DLH Rag 1A Reg 18 > Req 1A Reg 1B Assume that the company continues to use direct labor-hours as the base for applying overhead cost to products. Compute the unit product cost of each model. (Round your answers to 2 decimal places.) Model N 800 XL Model N 500 ( Req 1A Reg 10

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