how to calculate the overhead cost of each type of tyres

4G 1 71:53 9 C LITE : 96 MA- Assignment.docx Q . . CYBERNETICS INTERNATIONAL COLLEGE OF TECHNOLOGY MASTER (EXECUTIVES) BUSINESS ADMINISTRATION Management Accounting Group: B Class Date: 9 May 2021 Assigment: Individual Submission Date: 21 May 2021 (11:59pm) Information given: Michelin Tyres Corp. manufactured tyres. Currently they produced two types of tyre which is racing spec tyre and daily use tyre. Tyres manufactured in one year: 1. Racing specs tyre manufactured in 1 year: 3,000 units 2. Daily-use tyre manufactured in 1 year: 7,000 units Overhead cost in one year: 1. Machine maintenance (MM) costs: RM400, 000 2. Quality control (QC) costs: RM600, 000 *Total overhead of firm (MM + QC): RM1, 000, 000 Quantity of each of overhead types: 1. Number of machine hours used: 10,000 hours 2. Quality inspection: 1000 inspections Quantity of each type of overhead used by each type of tyres: 1. Racing specs tyre: 5,500 machine hours and 650 quality inspections. 2. Daily-use tyre: 4,500 machine hours and 350 quality inspections. Question: Calculate the overhead cost of each tyre of each tyre model ( racing specs and daily use specs)