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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: Direct Labor-Hours Per Unit Total Direct Labor- Hours 5,600 1,600 7,200 Expected Production 700 400 Product E1 Product A7 Total direct labor-hours 8.0 4.0 The direct labor rate is $25.50 per DLH. The direct materials cost per unit for each product is given below: Direct Materials Cost per Unit $214.00 $218.00 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 $110,800 52, 260 817,390 $980,450 Product E1 5,600 800 3,000 Product A7 1,600 400 3,300 Total 7,200 1,200 6,300 The total overhead anplied to Product F1 under activity-based costing is closest to (Round vour intermediate calculations to 2 decimal places.)
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