Two-Stage ABC for Manufacturing Assume Sherwin-Williams Company, a large paint manufacturer, has determined the following activity cost pools and cost driver levels for the latest period: Activity Cost Pool Activity Cost Activity Cost Driver Machine setup $900,000 Material handling Machine operation The following data are for the production of single batches of two products, Mirlite and Subdue: Subdue Mirlite 60,000 25,000 Gallons produced Direct labor hours Machine hours Direct labor cost Direct materials cost Setup hours Material moves 2.500 setup hours 820,000 4,000 material moves 400,000 20,000 machine hours 250 250 $10,000 $7,500 $360,000 $150,000 Direct materials Direct labor Manufacturing overhead: Machine setups Material handling Machine operation Total cost per batch Gallons produced Cost per gallon Determine the batch and unit costs per gallon of Mirlite and Subdue using ABC. Round cost per gallon to two decimal places. Product Costs $ 400 800 $ $ 15 60 Mirlite 12 35 $ $ $ Subdue

Two-5tage ABC for Manufacturing Assume Sherwin Whilams Company. a farge paint manufacturer, has detemined the following actwity cost pools and cost driver levels for the latest period; The following data are for the production of single batches of two products. Mirlite and subdue: Deteimine the batch and unt costs per gallon of Malice and Sobdue usang AOC. Aound cost per gallon to two decimal places