Rocky Mountain Corporation makes two types of hiking boots--Xactive and Pathbreaker. Data concerning these two product lines appear below: Direct materials per unit Direct labor cost per unit Direct labor-hours per unit Estimated annual production and sales Xactive $ 63.89 $ 17.20 1.4 LHS 15,000 units Pathbreaker $ 50.00 $ 12.00 1 DLHS 65,000 units ances The company has a conventional costing system in which manufacturing overhead is applied to units based on direct labor-hours Data concerning manufacturing overhead and direct labor-hours for the upcoming year appear below: Estimated total manufacturing overhead Estimated total direct labor-hours $1,634,000 86,800 DLHS Required: 1-a. Compute the predetermined overhead rate based on direct labor hours. 1-6. Using the predetermined overhead rote and other data from the problem, determine the unit product cost of each product 2. The company is considering replacing its conventional costing system with an activity based costing system that would assign its manufacturing overhead to the following four activity cost pools: Estimated total manufacturing overhead Estimated total direct labor-hours $1,634,000 86,000 DLHS Required: 1-a. Compute the predetermined overhead rate based on direct labor-hours. 1-b. Using the predetermined overhead rate and other data from the problem, determine the unit product cost of each product. 2. The company is considering replacing its conventional costing system with an activity-based costing system that would assign its manufacturing overhead to the following four activity cost pools: Estimated Expected Activity Activity Cost Pools and Activity Measures Overhead Cost Xactive Pathbreaker Total Supporting direct labor (direct labor-hours) $ 580,500 21,000 65,000 86,000 Batch setups (setups) 360,000 200 100 Product sustaining number of products) 639,500 General factory (machine-hours) 54,000 1,500 6,500 8,000 Total manufacturing overhead cost $1,634,000 300 2 1 1 Determine the activity rate for each of the four activity cost pools. 3. Using the activity rates and other data from the problem, determine the unit product cost of each product. Complete this question by entering your answers in the tabs below. Reg 1A Reg 13 Reg 2 Reg 3 Compute the predetermined overhead rate based on direct labor hours. (Round your answer to 2 decimal places.) Predelarmined overhead rate per DLH manufacturing overhead to the following four activity cost pools: Activity Cost Pools and Activity Measures Supporting direct labor (direct labor-hours) Batch setups (setups) Product sustaining (number of products) General factory (machine-hours) Total manufacturing overhead cost Estimated Overhead Cost $ 580,500 360,000 639,500 54,000 $1,634,000 Expected Activity Xactive Pathbreaker Total 21,000 65,000 86,000 200 100 300 1 1 2 1,500 6,500 8,000 Determine the activity rate for each of the four activity cost pools. 3. Using the activity rates and other data from the problem, determine the unit product cost of each product. Complete this question by entering your answers in the tabs below. Req 1A Reg 18 Reg 2 Req3 Using the activity rates and other data from the problem, determine the unit product cost of each product. (Round your intermediate calculations and final answers to 2 decimal places.) Xactive Pathbreaker Unit product cost
