2 of 5 (1 complete) HV ypes of doors, interior and exterior. The company's simple costing system has two direct ole costing system allocates indirect costs on the basis of machine-hours. Recently, the c arket share for their interior doors, usually their biggest seller. Information related to Dura uction data.) (Click the icon to view additional information.) St of an interior door and an exterior door under the existing simple costing system. nterior and exterior door, begin by calculating the overhead rate under the simple costing sy Requirements co d a g th ect d d ma ities 1. Calculate the cost of an interior door and an exterior door under the existing simple costing system. 2. Calculate the cost of an interior door and an exterior door under an activity-based costing system. 3. Compare the costs of the doors in requirements 1 and 2. Why do the simple and activity-based costing systems differ in the cost of an interior door and an exterior door? 4. How might Durable Doors, Inc., use the new cost information from its activity-based costing system to address the declining market share for interior doors? 9 Print Done $ 26,040 Machine setups $ 80,000 Machine-hours $ 18,000 Number of inspections 40 160