E4-20A (similar to) Question Help Farrington Company uses ABC to account for its chrome wheel manufacturing process. Company managers have identified four manufacturing activities that incur manufacturing overhead costs: materials handling, machine setup, insertion of parts, and finishing. The budgeted activity costs for the upcoming year and their allocation bases are as follows: E (Click the icon to view the budgeted costs and activity bases.) Farrington Company expects to produce 1,000 chrome wheels during the year. The wheels are expected to use 3,200 parts, require 25 setups, and consume 2,300 hours of finishing time. Job 420 used 250 parts, required 4 setups, and consumed 120 finishing hours. Job 510 used 475 parts, required 6 setups, and consumed 300 finishing hours. Read the requirements Requirement 1. Compute the cost allocation rate for each activity. First identify the formula, then compute the rate for each activity. Activity cost allocation rate 1 Requirements 1. Compute the cost allocation rate for each activity. 2. Compute the manufacturing overhead cost that should be assigned to Job 420 3. Compute the manufacturing overhead cost that should be assigned to Job 510 Print Done Choose from any drop-down list and then click Check Answer. parts O remaining Clear All Check Answer quirement 1. Compute the cost allocation rate for each activity. First identify the formula, then compute th ch ac 0 Data Table Activity location Total Budgeted Manufacturing Activity Overhead Cost Materials handling .... Machine setup ........ 9,000 Insertion of parts ..... 54,400 89,700 Finishing $ 159,500 Total Allocation Base Number of parts Number of setups Number of parts Finishing direct labor hours Choose parts Print Done