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Required information Hickory Company manufactures two products15,000 units of Product Y and 7,000 units of Product Z. The company uses a plantwide overhead rate based
Required information Hickory Company manufactures two products15,000 units of Product Y and 7,000 units of Product Z. The company uses a plantwide overhead rate based on direct labour-hours. It is considering implementing an activity-based costing (ABC) system that allocates all of its manufacturing overhead to four cost pools. The following additional information is available for the company as a whole and for Products Y and Z: Estimated Overhead Cost Activity Measure Expected Activity 11,000 MHS Machine-hours $ 210,100 Machining Machine setups Production design General factory 45, 100 Number of setups Number of products Direct labour-hours $ $ $ 75,000 241,000 110 setups 2 products 13,200 DLHS Activity Measure Product Y Product z Machine-hours 6,100 4,900 50 60 Number of setups Number of products Direct labour-hours 1 1 7,100 6,100 Required: What is the activity rate for the General Factory activity cost pool? (Round your answer to 2 decimal places.) Activity rate per DLH Required: Using the plantwide overhead rate, how much manufacturing overhead cost is allocated to Product Y and Product Z? (Round your intermediate calculations to 2 decimal places and final answers to the nearest dollar amount.) Product Y Product Z Manufacturing overhead allocated
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