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Wanger, Inc., manufactures and sells two products: Product G1 and Product F2. Data concerning the expected production of each product and the expected total direct

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Wanger, Inc., manufactures and sells two products: Product G1 and Product F2. Data concerning the expected production of each product and the expected total direct labor-hours (DLHs) required to produce that output appear below: Direct Total Labor- Direct Expected Hours Labor- Production Per Unit Hours Product G1 800 9. 0 7, 200 Product F2 800 11. 0 8, 800 Total direct labor-hours 16, 000 The direct labor rate is $15.30 per DLH. The direct materials cost per unit for each product is given below: Direct Materials Cost per Unit Product G1 $100. 50 Product F2 $292. 00 The company is considering adopting an activity-based costing system with the following activity cost pools, activity measures, and expected activity: Activity Estimated Expected Activity Activity Cost Pools Measures Overhead Cost Product G1 Product F2 Total Labor-related DLHs $ 732, 480 7, 200 8, 800 16, 000 Machine setups setups 53, 809 400 300 700 Order size MHs 600, 525 3, 800 3, 700 7, 500 $1, 386, 814

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