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Stillicum Corporation makes ultra light-weight backpacking tents. Data concerning the company's two product lines appear below: $ $ Deluxe 59.00 17.00 .70 DLHS 10,000 units
Stillicum Corporation makes ultra light-weight backpacking tents. Data concerning the company's two product lines appear below: $ $ Deluxe 59.00 17.00 .70 DLHS 10,000 units Direct materials per unit Direct labor per unit Direst labor-hours per unit Estimated annual production $ $ Standard 47.00 14.00 1.40 DLHS 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 Estimated total direct labor-hours $627.000 77,000 DLHS 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: Expected Activity Estimated Overhead Cost $ 462,000 105,000 60,000 $ 627,000 Activity Cost Pools and Activity Measures Supporting direct labor (direct labor-hours) Batch setups (setups) Safety testing (tests) Total manufacturing overhead cost Deluxe 7,00 200 Standard 70,00 100 70 Total 77,000 380 100 30 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. Required 1 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 cost 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 product cost
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