Required Information Problem 4-17 (Algo) Contrast Activity-Based Costing and Conventional Product Costing [LO4-2, L04-3. LO4-4] [The following information applies to the questions displayed below.] 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 B00 XL Model N 500 Activity Cost Pool Machine setups Special processing General factory Activity Measure Number of setups Machine-hours Direct labor-hours Additional information about the company follows: a. Model N 800 XL requires $60 in direct materials per unit, and Model N 500 requires $15. b. The direct labor wage rate is $19 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: Direct Labor- Hours per Unit 3.5 1-2 Req 201 Req 242 Machine setup Special processing General factory Activity Measure Number of setups Machine-hours Direct labar-hours Annual Production 4,500 units 12,500 units Model N 800 XL 120 Req 28 15,eee 15,758 Total Direct Labor Hours Complete this question by entering your answers in the tabs below. per setup per MH per DLH 15,750 15,000 30,758 Esticated Overhead Cost $ 420,000 195,000 1,230,000 $ 1,845,000 Problem 4-17 (Algo) Part 2 2 Assume that the company decides to use activity-based costing to assign manufacturing overhead cost to products. a(1) Compute the activity rate for each activity cost pool. (2). Determine the amount of overhead cost that would be assigned to each model using the activity-based costing system. b. Compute the unit product cost of each model. Expected Activity Model N 500 300 0 15,000 Total 420 15,000 38,750 Assume that the company decides to use activity-based costing to assign manufacturing overhead cost to products. Compute the activity rate for each activity cost pool. (Round your answers to 2 decimal places.)

Required information Problem 4-17 (Algo) Contrast Activity-Based Cosung and Conventional Product Costing [L04-2, L04-3 [04-4] [The following informotion opplies to the questions disployed below] Puget World, Incorporated, manufactures two models of television sets, the N 800 XL. model and the N 500 model. Dat regarding the two products follow. Additional information obout the company follows: a. Model N800XL requires $60 in direct materials per unic, and Model N 500 requires $15. b. The direct labor woge rote is $19 per hour. c. The compony has alwoys used direct lobor-hours as the bose for opplying monufocturing 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. Consequenty, the company is considering the use of octivity-based costing to assign manufocturing overhead cost to products. Three octivity cost pools hove been identified as follows: Problem 4-17 (Algo) Pert 2 2 Assume thet the compony decides to use octivity-bosed costing to ossign monufocturing overhead cost to products. a(1). Compure the octivity rate for each octivity cost pool. o(2). Determine the omount of overhead cost that would be ossigned to each model using the octivity-bosed costing system. b. Compute the unit product cost of each model. Complete this question by entering your answers in the tabs below. Nosume that the company decides to use activity-based costing to assign manufacturing overhead cost to products. Compute the activity rote for each activity cost pool. (Round your ansiners to 2 decimal places.) Problem 4-17 (Algo) Contrast Activity-Based Costing and Conventional Product Costing [L04-2, L04-3. [04-4] [The following informotion opplies to the questions disployed below] Puget World, Incorporated, monufoctures two modets of television sets, the N 800L model and the N 500 model. Data regording the two products follow: Additional information about the company follows: 0. Model N 300 XL requires $60 in direct materials per unit, and Model N 500 requires $15. b. The direct lobor woge rote is $19 per hour. c. The company hos olwoys used direct lobor-hours as the bose for opplying manufocturing overhead cost to products. d. Model N 800XL is more complex to manufocture than Model N 500 ond requires the use of special equipment. Consequently, the company is considering the use of activity-bosed costing to assign manufacturing overhead cost to products. Three octivity cost pools hove been identified as follows: Problem 4-17 (Algo) Pert 2 2 Assume that the company decides to use octivity-bosed conting to assign manufocturing overhead cost to products. a(t) Compure the octivity rote for eoch octivity cost pool. af) Determine the omount of overheod cost that would be ossigned to eoch model using the octivity-bosed costing system. b. Compute the unit product cost of each model. Complete this question by entering your answers in the tabs below. Assume that the company dedies to use activily-based costing to assign manufacturing overhead cost to products. Determine the amourt of overhead cost that would be ansigned to each model using the activity-based costing systern. (Round your intermediate calcaletiors and final answers to 2 decimal places.) Required informaton Problem 4-17 (Algo) Contrast Activity-Based Costing and Conventional Product Costing [L04-2, L043. [04-4] [The following informotion opplies to the questions disployed below] Puget World, Incorporated, monufactures two models of television sets, the N 800L model and the N 500 model. Dato regording the two products follow: Addrional information obout the compony follow: a. Model NB00C requires $60 in direct materiols per unit, and Model N 500 requires $15. b. The direct lobor woge rate is $19 per hour. c. The compony hos olwoys used direct lobor-hours as the bose for opplying 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 compony is considering the use of octivity-based costing to assign manufocturing overheod cost to products. Three octivity cost pools hove been identified as follows: Problem 4-17 (Algo) Port 2 2 Assume thet the compony decides to use octivity-bosed costing to ossign monufocturing overheod cost to products. a(t). Compute the octivity rote for each octivity cost pool. o(2) Determine the omount of overheod cost thot would be ossigned to eoch model using the octivity-bosed costing system. b. Compute the unit product cost of each model. Complete this question by entering your answers in the tabs below. Assume that the company decides to use activily-based costing to assign manufacturing overhead cost to products, Compute the unit product cost of each model, (Round your intermediate calculations and final answers to 2 decimal places.)