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Accounting

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Help Save & Exit Submit Fleurant, Inc., manufactures and sells two products Product W2 and Product PB. Data concerning the expected production of each product and the expected total direct labor-hours (DLHS) required to produce that output appear below. Expected Direct Labor- Production Hours Per Unit 500 600 Production How Total Direct Labor-Hours 3,000 6 Product w2 Product P8 Total direct labor-hours 3,000 6,000 The direct labor rate is $44.10 per DLH. The direct materials cost per unit is $210.60 for Product W2 and $14730 for Product P8. The company is considering adopting an activity based costing system with the following activity cost pools, activity measures, and expected activity: Expected Activity Activity Cost Pools Labor-related Production orders Order size Estimated Activity Overhead Measures Cost DLHS $225, 576 orders 19,238 MHS 265,186 $510,000 Product W2 Product P8 3,000 3,000 550 450 3,950 3,750 Total 6,000 1,000 7,700 If the company allocates all of its overhead based on direct labor-hours using its traditional costing method, the overhead assigned to each unit of Product W2 would be closest to: Multiple Choice Brex 3 of 20 Next > If the company allocates all of its overhead based on direct labor-hours using its traditional costing method, the overhead assigned to each unit of Product W2 would be closest to: Multiple Choice o $225.58 per unit O $115.43 per unit O $510.00 per unit O $20664 per unit

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