Comprehensive Problem II- Worth 50 points Part I Performance Products Corporation makes two products, Titanium Rims and Posts. Data regarding the two products is provided in the following table: Direct Labor Hours per Unit Annual Production Rims 0.40 Posts 0.20 20,000 units 80,000 units Additional information about the company follows: a. Rims require $17.00 in direct materials per unit, and Posts require $10.00. b. The direct labor wage rate is $16.00 per hour. c. Rims are more complex to manufacture than Posts, and they require special equipment. d. The Activity Based Costing (ABC) System has the following activity cost pools: Activity Cost Pool Activity Measure Estimated Overhead Rims Posts Total Activity for Cost Rims and Posts Machine Setups Number of $21,600 100 100 80 180 Machine Setups Special Processing Machine Hours: $180,000 4,000 0 4,000 General Factory Direct Labor Hours: $288,000 8,000 16,000 24,000