Required Information Problem 4-17 (Algo) Contrast Activity-Based Costing and Conventional Product Costing [LO4-2, L04-3. LO4-4] [The following information applies to the questions displayed below] Puget World, Incorporated, manufactures two models of television sets, the N 800 XL model and the N 500 model. Data regarding the two products follow: Model N 800 XL Model N Seo Activity Cost Pool Machine setups Special processing General factory Activity Measure Number of setups Machine hours Direct labor hours Direct Labor- Hours per Unit Additional information about the company follows: a Model N 800 XL requires $60 in direct materials per unit, and Model N 500 requires $15. b. The direct labor wage rate is $19 per hour. c. The company has always used direct labor-hours as the base for applying manufacturing overhead cost to products. d. Model N 800 XL is more complex to manufacture than Model N 500 and requires the use of special equipment. Consequently, the company is considering the use of activity-based costing to assign manufacturing overhead cost to products. Three activity cost pools have been identified as follows Req 201 3.5 1.2 Req ZA2 Machine selup Special processing General factory Annual Production 4,500 units 12,500 units Activity Measure Number of setups Machine-hours Direct labor hours Model N 800 XL 120 Req 28 Total Direct Labor Hours 15,000 15,750 Complete this question by entering your answers in the tabs below. per setup per MH per DLH 15,750 15,000 30,750 Estimated Overhead Cost $ 420,000 195,000 1,230,000 $ 1,845,000 Problem 4-17 (Algo) Part 2 2. Assume that the company decides to use activity-based costing to assign manufacturing overhead cost to products. (1) Compute the activity rate for each activity cost pool. (2). Determine the amount of overhead cost that would be assigned to each model using the activity-based costing system. . Compute the unit product cost of each model Expected Activity Model N See 309 0 15,000 Total 428 Assume that the company decides to use activity-based costing to assign manufacturing overhead cost to products. Compute the activity rate for each activity cost pool. (Round your answers to 2 decimal places.) 25,000 30,750 Raq 2A2 >

Required information Problem 4-17 (Algo) Contrast Actlvity-Based Costing and Conventional Product Costing [L04-2, LO4-3. [04-4] [The following informotion opplies to the questions disployed below] Puget World, incorporated, manufactures two models of television sets, the N 800CL model and the N 500 model. Data regarding the two products follow. Addrional informotion about the company follows: a. Model N 800 XL requires $60 in direct moterisls per unit, and Model N 500 requires $15. b. The direct labor woge rate is $19 per hout. c. The compory has alwoys used direct labor-hours as the bose for opplying manufacturing overheod cost to products. d. Model Ns00XL is more complex to manufacture than Model N500 and requires the use of special equipmert. Consequeritly, the company is considering the use of activity-bosed costing to ossign monufocturing overheod cost to products. Three activity cost pools have been identified as follows. Problem 4-17 (Algo) Part 2 2 Assume thet the compary decides to use octivity-bosed costing to assign monulacturing overhesd cont to products. Cot. Compure the activity rate for each octivity cost pool. 72.) Determine the omount of overhead cost that would be assigned to each model using the octivity-bosed cossing iystem. Compuse the unit product cost of eoch model. Complete this question by entering your answers in the tabs below. Required information Problem 4-17 (Algo) Contrast Activity-Based Costing and Conventional Product Costing [LO4-2, LO4-3. [04-4] [The following information opplies to the questions displayed below] Puget World, Incorporated, monufoctures two models of television sets, the N 800 XL model and the N 500 model. Dato regording the two products follow: Additional information obout the company follows: a. Model N300L requires $60 in direct materials per unit, and Model N 500 requires $15. b. The direct lobor wage rate is $19 per hout: c. The company hos alwoys used direct labor-hours as the base for opplying manufacturing overheod cost to products. d. Model N 800XL is more complex to monufocture than Model N 500 ond requires the use of special equipment. Consequently, the compony is considering the use of activity-based costing to ossign monufocturing overhead cost to products. Three octivity cost pools hove been identified os follows: Problem 417 (Algo) Part 2 2 Assume that the compony decides to use octivity-based costing to assign manufocturing overheod cost to products. o(1). Compute the octivity rote for eoch octivity cost pool. of 2) Determine the amount of overheod cost that would be ossigned to each model using the activity-bosed costing system b. Compute the unit product cost of each model. Complete this question by entering your answers in the tabs below. Assume that the company decdses to use activity-tased costing to assign manufacturing overhead cost to products Deternine the amount of overtiead cost that would be assigned to each model using the activity-based costing system. (Pound your intermediate calculations and final answers to 2 decimal places.)