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Required information Exercise 4-8 Computing ABC Product Costs [LO4-2, LO4-3) [The following information applies to the questions displayed below) Performance Products Corporation makes two products,

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Required information Exercise 4-8 Computing ABC Product Costs [LO4-2, LO4-3) [The following information applies to the questions displayed below) Performance Products Corporation makes two products, titanium Rims and Posts. Data regarding the two products follow: Direct Labor-Hours per unit 0.70 0.60 Rin Posts Annual Production 20,000 units 14,000 units Additional information about the company follows: a Rims require $16 in direct materials per unit and Posts require 512 b. The direct labor wage rate is $15 per hour c. Rims are more complex to manufacture than Posts and they require special equipment The ABC system has the following activity cost pools Estivity Estated Ovad ADA JA UHUL TUDI waye love is Upei Hui. c. Rims are more complex to manufacture than Posts and they require special equipment. d. The ABC system has the following activity cost pools: Estimated Activity Activity Cost Pool Machine setups Special processing General factory Posts 130 Estimated Overhead Cost $ 28,560 $ 159,600 $ 680,000 Activity Measure Number of setups Machine-hours Direct labor-hours Rims 80 6,000 10,000 Total 210 6.000 40,000 30,000 Exercise 4-8 Part 1 Required: 1. Compute the activity rate for each activity cost pool. (Round your answers to 2 decimal places.) Activity Cost Pool Machine setups Special processing General factory Activity Rate per setup per MH per DLH Required information Activity Cost Pool Machine setups Special processing General factory Activity Measure Number of setups Machine-hours Direct labor-hours Overhead Cost $ 28,560 $ 159,600 $ 680,000 Posts 130 Rims 80 6,000 10,000 Total 210 6,000 40,000 30,000 Exercise 4-8 Part 2 2. Determine the unit product cost of each product according to the ABC system (Do not round intermediate calc your final answers to 2 decimal places.) Unit product cost of Rims Unit product cost of Posts

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