ESPN Yahool Apple Bing Google Yahoo HELIO Co-Fitness Apparels Definition | Dictionary.com About Wildcat...anhattan, KS Buy US iTune...ftCardSupply Sarahah - Login

ser-Outlook

Mail-Naser Naser Outlook

https://outlook.office.com/mail...

-Grammarly

Chapter 17 Homework

17 Homework

Question 6 of 13

Painting

Packing and shipping

(a)

<

Total unit cost $

>

Gallons

Pounds

eTextbook and Media

Home Model

63,096

824,100

$1,583,096

Save for Later

Using multiple attempts will impact your score.

20% score reduction after attempt 1

Under traditional product costing, compute the total unit cost of each product. (Round answers to 2 decimal places, e.g.

12.50.)

$

5,258

335,000

Commercial Model

3,680

215,000

-/1 E

1,578

120,000

Attempts: 0 of 2 used

Submit Answer

Dictionary.co...iction

Question 6/nQuestion 6 of 13

Sunland Fire, Inc. manufactures steel cylinders and nozzles for two models of fire extinguishers: (1) a home fire extinguisher and (2) a

commercial fire extinguisher. The home model is a high-volume (54,000 units), half-gallon cylinder that holds 2 1/2 pounds of multi-

purpose dry chemical at 480 PSI. The commercial model is a low-volume (10,200 units), two-gallon cylinder that holds 10 pounds of

multi-purpose dry chemical at 390 PSI. Both products require 1.5 hours of direct labor for completion. Therefore, total annual direct

labor hours are 96,300 or [1.5 hours x (54,000 + 10,200)]. Estimated annual manufacturing overhead is $1,583,096. Thus, the

predetermined overhead rate is $16.44 or ($1,583,096 +96,300) per direct labor hour. The direct materials cost per unit is $18.50 for

the home model and $26.50 for the commercial model. The direct labor cost is $19 per unit for both the home and the commercial

models.

The company's managers identified six activity cost pools and related cost drivers and accumulated overhead by cost pool as follows.

Use of

Drivers by Product

Activity Cost Pools

Receiving

Forming

Assembling

Testing

Painting

Packing and shipping

< >

Cost Drivers

Pounds

Machine hours

Number of parts

Number of tests

Gallons

Pounds

Estimated

Overhead

$80,400

145,950

414,470

55,080

63,096

824,100

$1,583,096

Estimated Use

of

Cost Drivers

335,000

35,000

217,000

25,500

5,258

335,000

Home

215,000

27,000

165,000

15,500

3,680

-/1 E :

215,000

Commercial

120,000

8,000

52,000

10,000

1,578

120,000