Performance Products Corporation makes two products titanium Rims and Posts. Data regarding the two products follow:
Direct
Labor-Hours Annual
per unit Production
Additional information about the company follows:
a. Rims require $24 in direct materials per unit and Posts require $16.
b. The direct labor wage rate is $11 per hour.
c. Rims are more complex to manufacture than Posts and they require special equipment.
d. The ABC system has the following activity cost pools:
Estimated Activity
1.
Compute the activity rate for each activity cost pool. (Round your final answers to 2 decimal places.)
Activity Cost Pool Activity Rate
Machine setups ?per setup
Special processing ?per setup
General factory ?per setup
rev: 02-15-2011
2.
Determine the unit product cost of each product according to the ABC system. (Do not round intermediate calculation. Round your final answers to 2 decimal
places.)
Unit product cost of Rims $
Unit product cost of Posts $