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3.4 Connect: Cases and Problems Assignment i Saved Help Save & Exit Submit Check my work 10 Keller Company makes two models of battery-operated boats, the Sandy Beach and the Rocky River. Basic production information follows: Sandy Beach Rocky River 10 Direct materials cost per unit $18 . 80 $ 27. 40 points Direct labor cost per unit 13.20 18.60 Sales price per unit 82 . 80 106.00 Expected production per month 1, 240 units 920 units eBook Print Keller has monthly overhead of $10,573, which is divided into the following cost pools: References Setup costs $ 1, 680 Quality control 5,700 Maintenance 3,193 Total $ 10,573 The company has also compiled the following information about the chosen cost drivers: Sandy Beach Rocky River Total Number of setups 17 13 30 Number of inspections 140 335 475 Number of machine hours 1,550 1,550 3,100 Required: 1. Suppose Keller uses a traditional costing system with machine hours as the cost driver. Determine the amount of overhead assigned to each product line. (Do not round intermediate calculations and round your final answers to the nearest whole dollar amount.) Overhead Assigned Sandy Beach Model3.4 Connect: Cases and Problems Assignment i Saved Help Save & Exit Submit Check my work 10 to each product line. (Do not round intermediate calculations and round your final answers to the nearest whole dollar amount.) Overhead Assigned Sandy Beach Model 10 Rocky River Model points Total Overhead Cost eBook Print References 2. Calculate the production cost per unit for each of Keller's products under a traditional costing system. (Round your intermediate calculations and final answers to 2 decimal places.) Sandy Beach Rocky River Unit Cost 3. Calculate Keller's gross margin per unit for each product under the traditional costing system. (Round your intermediate calculations and final answers to 2 decimal places.) Sandy Beach Rocky River Gross Margin Mc Graw Hill3.4 Connect: Cases and Problems Assignment i Saved Help Save & Exit Submit Check my work 10 4. Select the appropriate cost driver for each cost pool and calculate the activity rates if Keller wanted to implement an ABC system. (Round your answers to 2 decimal places.) 10 Setup Costs points Quality Control Maintenance eBook Print References 5. Assuming an ABC system, assign overhead costs to each product based on activity demands.(Round your intermediate calculations to 2 decimal places and final answers to the nearest whole dollar amount.) Overhead Assigned Overhead Assigned To Sandy Beach To Rocky River Setup Cost Quality Control Maintenance Total Overhead Cost $ o $ Mc Graw 3.4 Connect: Cases and Problems Assignment i Saved Help Save & Exit Submit Check my work 10 6. Calculate the production cost per unit for each of Keller's products with an ABC system. (Round your intermediate calculations and final answers to 2 decimal places.) Sandy Beach Rocky River 10 points Unit Cost eBook Print References 7. Calculate Keller's gross margin per unit for each product under an ABC system. (Round your intermediate calculations and final answers to 2 decimal places.) Sandy Beach Rocky River Gross Margin 8. Compare the gross margin per unit of each product under the traditional system and ABC. (Round your answers to 2 decimal places.) Sandy Beach Rocky River Gross Margin (Traditional) Gross Margin (ABC) Mc Graw Hill