Required information [The following information applies to the questions displayed below.) Tent Master produces Pup tents and Pop-up tents. The company budgets $255,000 of overhead cost and 51,000 direct labor hours. Additional Information follows. 2 Per Unit Pup tent Pop-up tent Selling Price $ 80 75 Direct Materials $ 20 26 Direct Labor $ 47 34 Activity Assembly Electricity Materials purchasing Total Budgeted Cont $ 153,000 33,000 69,000 $ 255.000 Activity Cost Driver Direct Labor hours (DIH) Machine hours (MH) Purchase orders (0) Budgeted Activity Weage 51,000 10.000 600 Required: 1. Compute an activity rate for each activity using activity based costing, 2. The following actual activity usage produced 10,000 Pup tents and 8,000 Pop-up tents. Allocate overhead cost to Pup tents and to Pop-up tents and compute overhead cost per unit for each product. Activity Unago Activity Cont Driver Pup tent. Pop-up tenta Direct labor hours (LU 34,500 16,500 Machine hours () 3,500 Purchase ordera (10) 250 350 3. Compute product cost per unit for Pup tents and for Pop-up tents. 4. For each product, compute the gross profit per unit (selling price per unit minus the product cost per unit), 6,500 Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Compute an activity rate for each activity using activity-based costing. (Round "Activity Rate' to 2 decimal places.) Activity Budgeted Cost Budgeted Activity Usage Activity Rate Assembly Electricity Materials purchasing Required 2 > Required 1 Required 2 Required 3 Required 4 The following actual activity usage produced 10,000 Pup tents and 8,000 Pop-up tents. Allocate overhead cost to Pup tents and to Pop-up tents and compute overhead cost per unit for each product. (Round "Activity Rate" and "Overhead per unit" to 2 decimal places.) Allocate overhead to Pup tent Activity Usage Activity Rate Allocated Cost $ 0 0 Activity Assembly Electricity Materials purchasing Total allocated cost Units produced Overhead cost per unit 0 $ 0 Allocate overhead to Pop-up tent Activity Usage Activity Rate Allocated Cost 0 0 Activity Assembly Electricity Materials purchasing Total allocated cost Units produced Overhead cost per unit 0 0 $ (Required 1 Required 3 > Required 1 Required 2 Required 3 Required 4 Compute product cost per unit for Pup tents and for Pop-up tents. (Round "Activity Rate and final answers to 2 decimal places.) Per Unit Overhead Product Cost por Unit Pup tent Pop-up tent Direct Direct Labor Materials $ 20.00 $ 47.00 26.00 34.00 Required 1 Required 2 Required 3 Required 4 For each product, compute the gross profit per unit (selling price per unit minus the product cost per unit). (Round "Activity Rate and final answers to 2 decimal places. Enter any product costs in excess of selling prices as negative values.) Product Cont Gross Profit Por Unit Pup tent Pop-up tent Selling Price $ 80.00 75.00
