Drab Dog Collars uses activity-based costing. Drab's system has the following features: (Click the icon to view the data table.) Each collar has three parts, direct materials cost is $11.00 per collar, and direct labor cost is $4.00 per collar. Suppose Animal Hut has asked for a bid on 40,000 dog collars. Drab will issue a total of 175 purchase orders if Animal Hut accepts Drab's bid. Read the requirements Requirement 1. Compute the total cost Drab will incur to purchase the needed materials and then assemble and package 40,000 dog collars. Also compute the cost per collar. (Round the total cost to the nearest dollar and the cost per collar to the nearest cent.) Data Table Requirements 1. Activity Predetermined Overhead Allocation Rate Allocation Base 2. Total manufacturing cost $65.00 per purchase order Purchasing Assembling Packaging Number of purchase orders Number of parts Number of finished collars 0.50 per part 3. Compute the total estimated cost Drab will incur to purchase the needed materials and then assemble and package 40,000 dog collars. Also compute the cost per collar. For bidding, Drab adds a 20% markup to total cost. What total price will the company bid for the entire Animal Hut order? Suppose that instead of an ABC system, Drab has a traditional product costing system that allocates indirect costs at the rate of $9.00 per direct labor hour. The dog collar order will require 14,000 direct labor hours. What total price will Drab bid using this system's total cost? Use your answers to Requirements 2 and 3 to explain how ABC can help Drab make a better decision about the bid price it will offer Animal Hut. Manufacturing cost per collar 0.15 per collar 4. Print Done Print Done Choose from any list or enter any number in the input fields and then click Check