Doreen Design Inc. manufactures custom made it Doreen currently uses a single vertad rate traditional method based on account one manufacture vead M6 to individual jobs it estimates to instaows this and expects acturing a to be 5.000 However , the owner and CEO is considering using activity used costing to allocate mutufacturing overhead she be identited to activities that edir o dese mestucturindi hd purchase orders, parts administration machine set Vos and machining. The bodged twity costs for the second year and the stocation below Activity Budgeted Allocation base Estimated volume of manufacturing allocation base overhead costs Purchase orders 55.600 purchase orders 100 purchase orders Parts administration $5400 parts 300 parts Machine set-ups 599.000 #setups 20 set up Machining $45.000 machines 3,000 machine hours Job 420 used 5 purchase orders, 250 parts t-ups and 130 machine hours Job 510 used 10 purchase orders, 400 parts, setups and 200 machine hos Required: 1 Using the traditional method of cost allocation determine the manufacturing overhead that will be located to lobo and 100510 2 Using activity based costing compute the activity rate for each activity, 14 marks 3 Using activity based costing compute the manufacturing overed cons that will be allocated to lob 420 marks 4. Using activity based costing compute the manufacturing overhead costs that will be located to sob 510 mars ENTER YOUR ANSWER IN THE WHITE SPACE BELOW SHOW ALL YOUR CALCULATIONS IN ORDER TO RECEIVE PART MARKS Doreen Design Inc. manufactures custom made fumitur. Doreen currently we single owerhede ditton the other located overhead (OH) to individual jobs. It estimates to incur 3,000 machine on this year and gets manufacturing overed to be 596.000 However, the owner and CEO is considering using activity based costing to locate maritating were she was verified for the cost purchase orders, parts administration machine set up and machine. The budgeted activity costs for the coming year and the location for Activity Budgeted Allocation base Estimated volume of manufacturing allocation base overhead costs Purchase order $5,600 W purchase orders 1 DO puchonders Parts administration $6,400 pots 3.200 ans Machine stos $39.000 Aset 20 setups Machining 545.000 machine voor 3.000 machine hours Job 420 sed purchase order 250 ports, 3 set ups and 110 machine hous Job 510 used 10 purchase orders, 400 pa se ups and 200 machine hours Required: 1. Using the traditional method of cost allocation determine the manufacturing overed that will be allocated to lob 420 anit Job 5106 marke 2. Using activity based costing compute the activity rate for each activity. (4 marka 3. Using activity based casting compute the manufacturing overhead costs that will be allocated to ob 120.44 mares Using activity based costing compute the manufacturing overhead costs that will be allocated to job 510. (4 marks) 4 Doreen Design Inc. manufactures custom made it Doreen currently uses a single vertad rate traditional method based on account one manufacture vead M6 to individual jobs it estimates to instaows this and expects acturing a to be 5.000 However , the owner and CEO is considering using activity used costing to allocate mutufacturing overhead she be identited to activities that edir o dese mestucturindi hd purchase orders, parts administration machine set Vos and machining. The bodged twity costs for the second year and the stocation below Activity Budgeted Allocation base Estimated volume of manufacturing allocation base overhead costs Purchase orders 55.600 purchase orders 100 purchase orders Parts administration $5400 parts 300 parts Machine set-ups 599.000 #setups 20 set up Machining $45.000 machines 3,000 machine hours Job 420 used 5 purchase orders, 250 parts t-ups and 130 machine hours Job 510 used 10 purchase orders, 400 parts, setups and 200 machine hos Required: 1 Using the traditional method of cost allocation determine the manufacturing overhead that will be located to lobo and 100510 2 Using activity based costing compute the activity rate for each activity, 14 marks 3 Using activity based costing compute the manufacturing overed cons that will be allocated to lob 420 marks 4. Using activity based costing compute the manufacturing overhead costs that will be located to sob 510 mars ENTER YOUR ANSWER IN THE WHITE SPACE BELOW SHOW ALL YOUR CALCULATIONS IN ORDER TO RECEIVE PART MARKS Doreen Design Inc. manufactures custom made fumitur. Doreen currently we single owerhede ditton the other located overhead (OH) to individual jobs. It estimates to incur 3,000 machine on this year and gets manufacturing overed to be 596.000 However, the owner and CEO is considering using activity based costing to locate maritating were she was verified for the cost purchase orders, parts administration machine set up and machine. The budgeted activity costs for the coming year and the location for Activity Budgeted Allocation base Estimated volume of manufacturing allocation base overhead costs Purchase order $5,600 W purchase orders 1 DO puchonders Parts administration $6,400 pots 3.200 ans Machine stos $39.000 Aset 20 setups Machining 545.000 machine voor 3.000 machine hours Job 420 sed purchase order 250 ports, 3 set ups and 110 machine hous Job 510 used 10 purchase orders, 400 pa se ups and 200 machine hours Required: 1. Using the traditional method of cost allocation determine the manufacturing overed that will be allocated to lob 420 anit Job 5106 marke 2. Using activity based costing compute the activity rate for each activity. (4 marka 3. Using activity based casting compute the manufacturing overhead costs that will be allocated to ob 120.44 mares Using activity based costing compute the manufacturing overhead costs that will be allocated to job 510. (4 marks) 4