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akeAssignment/take AssignmentMain.do?invoker=&take AssignmentSessionLocator=&inprogress=false eBook Calculator Multiple Versus Single Overhead Rates, Activity Drivers Deoro Company has identified the following overhead activities, costs, and activity drivers for
akeAssignment/take AssignmentMain.do?invoker=&take AssignmentSessionLocator=&inprogress=false eBook Calculator Multiple Versus Single Overhead Rates, Activity Drivers Deoro Company has identified the following overhead activities, costs, and activity drivers for the coming year: Activity Expected Cost Activity Driver Activity Capacity Setting up equipment $454,720 Number of setups 560 Ordering costs 398,200 Number of orders 18,100 Machine costs 991,300 Machine hours 43,100 Receiving 381,100 Receiving hours 10,300 Deoro produces two models of dishwashers with the following expected prime costs and activity demands: Model A Model B $569,000 $751,000 Direct materials Direct labor $450,000 8,900 Units completed $462,000 15,400 6,700 400 Direct labor hours 1,500 Number of setups 160 Number of orders 5,900 12,200 18,100 Machine hours 25,000 3,500 Receiving hours 6,800 Check My Work Previous Next ngageNOWw2 Online teachin x + cakeAssignment/takeAssignmentMain.do?invoker=&takeAssignmentSessionLocator &inprogress=false eBook Calculator Direct labor hours 6,700 1,500 Number of setups 400 160 Number of orders 5,900 12,200 Machine hours 25,000 18,100 Receiving hours 3,500 6,800 The company's normal activity is 8,200 direct labor hours. Required: 1. Determine the unit cost for each model using direct labor hours to apply overhead. Round intermediate calculations and final answers to nearest cent. Unit Cost Model A Model B 2. Determine the unit cost for each model using the four activity drivers. Round your answers to nearest cent. Unit Cost Model A Model B 3. Which method produces the more accurate cost assignment? Four activity drivers Check My Work
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