1. The company sells small and large umbrellas. They are considering adopting Activity Based costing. The company has accumulated the following data. Activities Purchasing Receiving Cost $300,000 150,000 Cost Driver Number of purchase orders Number of shipments received Number of sales orders Sales 150,000 Purchase orders Shipments received Sales orders Small 10,000 12,500 8,500 Large 5,000 7,500 6,500 A. Calculate the overhead rates for each activity. B. Calculate the dollar amount of overhead that should be assigned to small and large umbrellas