Use the following information for the Problems below. (Algo)

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Tent Master produces Pup tents and Pop-up tents. The company budgets $255,000 of overhead costs and 51,000 direct labor hours for this year. Additional information follows.

Per Unit	Selling Price	Direct Materials	Direct Labor
Pup tent	$ 80	$ 20	$ 47
Pop-up tent	75	26	34

Problem C-3A (Algo) Pricing analysis with activity-based costing LO P2

Activity	Budgeted Cost	Activity Cost Driver	Budgeted Activity Usage
Assembly	$ 153,000	Direct labor hours	51,000
Electricity	33,000	Machine hours	10,000
Materials purchasing	69,000	Purchase orders	600
Total	$ 255,000

Required:

Compute an activity rate for each activity using activity-based costing.

The company used the activities below to produce 10,000 Pup tents and 8,000 Pop-up tents. Allocate overhead costs to Pup tents and to Pop-up tents and compute overhead cost per unit for each.

Activity Cost Driver	Activity Usage
	Pup tents	Pop-up tents
Direct labor hours	34,500	16,500
Machine hours	3,500	6,500
Purchase orders	250	350

1. Compute product cost per unit for Pup tents and for Pop-up tents.
2. For each product, compute the selling price per unit minus the product cost per unit.

Complete this question by entering your answers in the tabs below. The company used the activities below to produce 10,000 Pup tents and 8,000 Pop-up tents. Allocate overhead costs to Pup tents and to Pop-up tents and compute overhead cost per unit for each. Note: Round "Activity rate" and "Overhead per unit" to 2 decimal places