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Snavely, Inc., manufactures and sells two products: Product E1 and Product A7. Data concerning the expected production of each product and the expected total direct
Snavely, Inc., manufactures and sells two products: Product E1 and Product A7. Data concerning the expected production of each product and the expected total direct labor-hours (DLHs) required to produce that output appear below: Expected Production 1,000 200 Direct Labor- Hours Per Unit 10.0 5.0 Total Direct Labor-Hours 10,000 1,000 Product E1 Product AZ Total direct labor- hours 11,000 The direct labor rate is $25.00 per DLH. The direct materials cost per unit for each product is given below: Direct Materials Cost per Unit $233.00 $200.00 Product E1 Product A7 The company has an activity-based costing system with the following activity cost pools, activity measures, and expected activity: Expected Activity Activity Cost Pools Labor-related Machine setups Order size Activity Measures DLHS setups MHS Estimated Overhead Cost $ 135,700 64,000 1,001,010 $1,200, 710 Product E1 Product AZ 10,000 1,000 1,100 2,800 3,200 Total 11,000 1,300 6,000 200 The total overhead applied to Product E1 under activity-based costing is closest to: (Round your intermediate calculations to 2 decimal places.) $1,20079 $644.705 $2.007,870 $467152
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