C & W Corporation manufactures travel clocks and watches. Overhead costs are currently allocated using direct labor-hours, but the controller has recommended using an activity-based costing system based on the following data:

Use the following information to compute the total activity, activity rate, and allocation to each product. (Please use the steps below to help you solve.) Total Activity* A. Step One: Use the following information to calculate the total activity and activity rate. Overhead (OH) Cost Activity Cost Driver Travel Clocks Watches assigned Production Setup Setups $100,000 20 set ups 30 set ups Material Handling Parts $30,000 24 parts 36 parts Packaging and Shipping Units shipped $60,000 80,000 units 120,000 units Total overhead $190,000 *hint: add clocks & watches **OH Cost Assigned / Total Activity Activity Rate (Predetermined OH Rate)** D. E. F. B. C. Step Two: Allocate OH to each product and calculate total overhead for each product. Travel Clocks Watches Production Setup G. K. Material Handling H. L. Packaging and Shipping I. M. Total Overhead J. N