Required information Exercise 4-8 Computing ABC Product Costs [LO4-2, LO4-3] [The following information applies to the questions displayed below.] Performance Products Corporation makes two products, titanium Rims and Posts. Data regarding the two products follow: Direct Labor-Hours per unit Annual Production Rims 0.70 20,000 units Posts: 0.60 84,000 units Additional information about the company follows: a. Rims require $16 in direct materials per unit, and Posts require $12. b. The direct labor wage rate is $15 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: Activity Cost Pool Machine setups Special processing General factory Activity Measure. Number of setups. Machine-hours Direct labor-hours Estimated Activity Estimated Overhead Cost $ 28,560 Rims Posts Total 80 130 210 $ 159,600 $ 680,000 6,000 10,000 30,000 6,000 40,000