Heidelberg Fabrication manufactures two products, G-09 and G-35: G-09 Units produced 19,600 Direct materials cost per unit Machine-hours per unit $7 G-35 3,920 $ 19 Production runs per quarter 4 144 7 72 Production at the plant is automated and any labor cost is included in overhead. Data on manufacturing overhead at the plant follow Machine depreciation Setup labor Materials handling Total $ 105,840 52,920 42,336 $201,096 Required: a. Heidelberg currently applies overhead on the basis of machine-hours. What is the predetermined overhead rate for the quarter? Note: Round your answer to 2 decimal places. b. Heidelberg is thinking of adopting an ABC system. They have tentatively chosen the following cost drivers machine-hours for machine depreciation, production runs for setup labor, and direct material dollars for materials handling. Compute the cost driver rates for the proposed system at Heidelberg. a Overhead rate b. Machine depreciation b Setup labor b. Materials handling per machine hour per machine hour per production run % direct material cost Required information Heidelberg Fabrication manufactures two products, G-09 and G-35: G-09 Units produced 19,600 G-35 3,920 Direct materials cost per unit $ 7 $ 19 Machine-hours per unit Production runs per quarter 4 144 7 72 Production at the plant is automated and any labor cost is included in overhead. Data on manufacturing overhead at the plant follow Machine depreciation Setup labor Materials handling Total $ 105,840 52,920 42,336 $201,096 Required: a. Compute the unit costs for the two products, G-09 and G-35, using the current costing system at Heidelberg (using machine-hours as the allocation basis). b. Compute the unit costs for the two products, G-09 and G-35, using the proposed ABC system at Heidelberg. Note: For all requirements, do not round intermediate calculations. Round your answers to 2 decimal places. a. Using current costing system b. Using proposed ABC system Unit Cost G-09 G-35