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. Product V9 Product M6 Direct Materials Cost per Unit. $ 287.60 $ 180.80 Activity Cost Pools Labor-related. The direct labor rate is $26.60 per DLH. The direct materials cost per unit for each product is given below: Product testing Order size Expected Production 580 680 The company is considering adopting an activity-based costing system with the following activity cost pools, activity measures, and expected activity: Traditional unit product cost ABC unit product cost Difference Activity Measures DLHS Tests MHS Direct Labor-Hours Per Unit Product V9 11.8 8.8 Estimated Overhead Product M6 Total Direct Cost $ 101,656 75,208 Labor-Hours 6,844 5,984 12,828 398,000 $ 574,864 Product V9 6,844 1,020 5,300 Expected Activity Product M6 Required: 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.) 5,984 1,360 4,720 Total 12,828 2,380 10,020

Consider the following production and cost data for two products, X and Y, manufactured by Company.   Product X Product Y Sales price per unit $52 $40 Direct materials cost per unit $18 $8 Direct labor hours per unit 1.5 1.0 Machine hours per unit 3.0 2.0 The labor rate is $10 per hour. Variable overhead is $2 per direct labor hour. The company can hire sufficient labor for any production level. The company has 15,000 machine hours available each period. There is unlimited demand for each product. Assuming a company has achieved a reasonable level of cost accuracy, what is the most important determinant of whether cost information should be even more accurate?

Henry Company has established the following standards for the costs of one unit of its product. The standard production overhead costs per unit are based on direct-labor hours. Calculation for standard per unit cost is as follows:     Std Cost Std Qty Std Price/Rate Direct Material $ 14.40 6.00 kg $ 2.40/kg Direct Labor $ 3.00 0.40 hour $ 7.50/hour Variable Overhead $ 4.00 0.40 hour $ 10.00/hour Fixed Overhead* $ 4.80 0.40 hour $ 12.00/hour Total $ 26.20       *based on practical capacity of 2,500 direct-labor hour per month During December 2020, Henry purchased 30,000 kg of direct material at a total cost of $75,000. The total wages for December were $20,000, 75% of which were for direct labor. Henry manufactured 4,500 units of product during December 2020, using 28,000kg of the direct material purchased in December and 2,100 direct-labor hours. Actual variable and fixed overhead cost were $23,100 and $25,000, respectively.…

Fleurant, Inc., manufactures and sells two products: Product W2 and Product P8. Data concerning the expected production of each product and the expected total direct labor-hours (DLHs) required to produce that output appear below:     Expected Production Direct Labor-Hours Per Unit Total Direct Labor-Hours Product W2 400 5 2,000 Product P8 500 4 2,000 Total direct labor-hours     4,000     The direct labor rate is $37.10 per DLH. The direct materials cost per unit is $203.60 for Product W2 and $140.30 for Product P8.   The company is considering adopting an activity-based costing system with the following activity cost pools, activity measures, and expected activity:       Estimated Expected Activity Activity Cost Pools Activity Measures Overhead Cost Product W2 Product P8 Total Labor-related DLHs $ 218,576 2,000 2,000 4,000 Production orders orders   18,538 400 380 780 Order size MHs   202,886 3,880 3,680 7,560     $ 440,000           Which of the…