Standard Exercise 2A-3 (Algo) Activity-Based Absorption Costing as an Alternative to Traditional Product Costing (LO2-5) Still cum Corporation makes ultra light weight backpacking tents. Data concerning the company's two product lines appear below. Deluxe Direct materiale per unit $ 61.00 $149.00 Direct Labor per unit $ 19.00 $ 15.60 Direct labor-hours per unit 0.70 Lt 1.40 DL Estimated annual production 10,000 units 50,000 units *The company has a traditional 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 $ 481,000 Estimated total direct labor-hours 77,000 Required: 1. Determine the unit product costs of the Deluxe and Standard products under the company's traditional costing system. 2. The company is considering replacing its traditional costing system with an activity-based absorption costing system that would have the following three activity cost pools: Estimated Overhead Expected Activity Activity Cout Tools and Activity Measures) Cost Deluxe Standard Total Supporting direct labor (direct labor-hours) $ 300,000 7,000 70,000 77,000 Batoh setups (setupa) 111.000 Safety testing (tests) 62.000 70 Total manufacturing overhead cost $461,000 Determine the unit product costs of the Deluxe and Standard products under the activity based absorption costing system 100 200 30 300 100 Complete this question by entering your answers in the tabs below. Required: Required 2 Determine the unit product costs of the Deluxe and Standard products under the company's traditional costing system (Round your intermediate calculations and final answers to 2 decimal places.) Deluxe Standard Unit product cont Required 2 > ces Stilicum Corporation makes ultra light-weight backpacking tents. Data concerning the company's two product lines appear below. Deluxe Standard Direct materials per unit 5.61.00 5 49.00 Direct labor per unit $19.00 $15.60 Direct labor-hours per unit 0.70 LS 1.40 Estimated annual production 10,000 unita 50,000 unita The company has a traditional costing system in which manufacturing overhead is applied to unlts based on direct labor-hours. Data concerning manufacturing overhead and direct labor-hours for the upcoming year appear below: Estimated total manufacturing overhand 481,000 Istimated total direct labor-hours 77,000 DLR Required: 1. Determine the unit product costs of the Deluxe and Standard products under the company's traditional costing system 2. The company is considering replacing its traditional costing system with an activity-based absorption costing system that would have the following three activity cost pools: Motivity Cont Pools and Activity Measures Estimated Overhead Expected Activity Cont DeLuxe Supporting direct labor direct labor-hours) Standard Total $ 300,000 7.000 Bateh setupe (stupe) 70,000 77,000 111,000 200 100 300 Safety testing testa) 12,000 30 70 Total manufacturing overhead coat Determine the unit product costs of the Deluxe and Standard products under the activity-based absorption costing system Complete this question by entering your answers in the tabs below. 100 Required 1 Required 2 Determine the unit product costs of the Deluxe and Standard products under the activity-based absorption costing system, (Round your intermediate calculations and final answers to 2 decimal places) Deluxe Standard Unit productos
