Activity Department Rate Product Coding and Production ReSound Inc. manufacturer two produce and deer. The factory and incurred is follow Indirect b Subtembly Department Final Department $400,400 100,000 114803 671-4,000 The activity base associated with the two production departments is direct labor hours. The indirect labor can be assigned to two different activities as follows: Activity Selap Quality control Budgeted Activity Coat $134.40 261,000 Activity Bas Number of supe Number of inspection Total 4400 The activity-base usage quantities and unes produced for the two products follow: Direct Labor Direct Labor Number of Schip 00 I 300 Number of Inspections 450 1,750 Hours Subassembly Hours-Final Assembly Unita Produced 875 525 7,000 525 400 1,400 1,400 7,000 14,000 Required: 1. Determine the factory overhead rates under the multiple production department rate method. Asume that indirect laberated with the production departments, so that the total factory overhead in 8420,000 and 8291,000 for the Subacsembly and Final Assembly departmANTS, PARSECTIONS. Department Subassembly Department Tilly Department Production Department Rate 3,000 X per direct labor hour 210 per direct inter hour 2. Determine the total and per unit factory overhoed coat allocated to such product, using the multiple production department overhoed ratsa in (1). Round per unit amounts to the nearest whole cent. Product Total Factory Overhead Factory Overhead Per Unit P Loudspeakers $372,750 $341,250 53.25 40.75 3. Determine the activity bar, arming that the indirect or is acccined with a rather than with the production departments Round per unit amounts to the nearest whole cent. Activity Quality Co Activity Rate 27,720 Xpr 53,550 X per rapection Subably Final Assembly Department 124,250 X $43,050 X ser direct labor hour 4. Determine the total and perunt set strigned to each product under activity-based coating. Round the per unit amounts to the react whole cant. Product M Total Activity Cost 110,880 X Activity Cost Per Unit 346.30 X 119 X Loudspeaker 200,250 X 5. Comment on the difference in the per-unit overhead allocated to each product under the multiple production department factory overhead rate and activity-based costing methods the activity-based walioad allocation reveals Usa loudspeakers are morecally on a perut basis saare de resivers. The multiple production department rate med determines that the per-unit factory walioal is mearly the same for the two products. the moliple production departures factory warhead rate med does dare unit cuts because all factory overhead is assumed to be proportional to direct labor hours. Loudspeakers have more setups and inspection activities than do receivers. Thus, loudspeakers have higher activity costs per unit than do receivers