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17) Aunt Ethel's Fancy Cookie Company manufactures and sells three flavors of cookies: Macaroon, Sugar, and Buttercream. The batch size for the cookies is limited

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17) Aunt Ethel's Fancy Cookie Company manufactures and sells three flavors of cookies: Macaroon, Sugar, and Buttercream. The batch size for the cookies is limited to 1,000 cookies based on the size of the overs and cookie molds owned by the company. Based on budgetary projections, the information listed below is available: Macaroon Sugar Buttercream Projected sales in units 500,000 800,000 600,000 PER UNIT data: Selling price $0.80 $0.75 $0.60 Direct materials 50.20 50.15 $0.14 Direct labor $0.04 50.02 $0.02 Hours per 1000-unit batch: Direct labor hours 2 1 1 Oven hours 1 1 1 Packaging hours 03 05 0.5 Total overhead costs and activity levels for the year are estimated as follows: Activity Overhead costs Activity levels Direct labor 2,400 hours Oven $210,000 1.900 oven hours Packaging S150.000 950 packaging hours 360.000 Required Determine the activity-com-driver rate for packaging costs. h. Using the ABC system for the sugar cookie 1 compute the estimated overhead costs per thousand cookies 2. compute the estimated operating profit per thousand cookies

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