Rondeau, Incorporated, manufactures and sells two products: Product V9 and Product M6. Data concerning the expected...

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Rondeau, Incorporated, manufactures and sells two products: Product V9 and Product M6. Data concerning the expected production of each product and the expected total direct labor-hours (DLHS) required to produce that output appear below. Product V9 Product M6 Total direct labor-hours Expected Production 520 620 Direct Labor-Hours Per Unit 11.2 8.2 Total Direct Labor-Hours 5,824 5,084 10,908 The direct labor rate is $26.00 per DLH. The direct materials cost per unit for each product is given below: Product V9 Product M6 Direct Materials Cost per Unit $ 284.60 $ 177.80 The company is considering adopting an activity-based costing system with the following activity cost pools, activity measures, and expected activity: Activity Cost Pools Labor-related Activity Measures DLHS Estimated Overhead Expected Activity Cost $ 100,156 Product V9 5,824 Product M6 Total 5,084 10,908 Product testing Tests 74,008 930 1,240 2,170 Order size MHs 395,000 5,000 4,480 9,480 Required: $569,164 Calculate the difference between the unit product costs under the traditional costing method and the activity-based costing system for each of the two products. (Round your intermediate calculations and final answers to 2 decimal places. Enter your answers as positive values.) Answer is complete but not entirely correct. Product V9 Product M6 Traditional unit product cost $ ABC unit product cost 575.80 396.41 S 391.00 275.58 Difference $ 179.39 $ 115.42 Rondeau, Incorporated, manufactures and sells two products: Product V9 and Product M6. Data concerning the expected production of each product and the expected total direct labor-hours (DLHS) required to produce that output appear below. Product V9 Product M6 Total direct labor-hours Expected Production 520 620 Direct Labor-Hours Per Unit 11.2 8.2 Total Direct Labor-Hours 5,824 5,084 10,908 The direct labor rate is $26.00 per DLH. The direct materials cost per unit for each product is given below: Product V9 Product M6 Direct Materials Cost per Unit $ 284.60 $ 177.80 The company is considering adopting an activity-based costing system with the following activity cost pools, activity measures, and expected activity: Activity Cost Pools Labor-related Activity Measures DLHS Estimated Overhead Expected Activity Cost $ 100,156 Product V9 5,824 Product M6 Total 5,084 10,908 Product testing Tests 74,008 930 1,240 2,170 Order size MHs 395,000 5,000 4,480 9,480 Required: $569,164 Calculate the difference between the unit product costs under the traditional costing method and the activity-based costing system for each of the two products. (Round your intermediate calculations and final answers to 2 decimal places. Enter your answers as positive values.) Answer is complete but not entirely correct. Product V9 Product M6 Traditional unit product cost $ ABC unit product cost 575.80 396.41 S 391.00 275.58 Difference $ 179.39 $ 115.42

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