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I believe my answer to part A is correct but I'm confused as to how to do part B. Any help would be greatly appreciated.

I believe my answer to part A is correct but I'm confused as to how to do part B. Any help would be greatly appreciated. Thank you in advance.image text in transcribed

Required information Upriver Parts manufactures two products, V-1 and V-2, at its River Plant. Selected data for an average month for the two products follow. v-1 10,000 $ 2 v-2 1,000 $ Units produced Direct materials cost per unit Machine hours per unit Production runs per month 2 80 40 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 Material handling Total $42,000 20,400 14,880 $77,280 Required: a. Compute the unit costs for the two products V-1 and V-2 using the current costing system at Upriver (using machine hours as the allocation basis). (Do not round intermediate calculations. Round your answers to 2 decimal places.) b. Compute the unit costs for the two products V-1 and V-2 using the proposed ABC system at Upriver. (Do not round intermediate calculations. Round your answers to 2 decimal places.) - V1 $ Unit Cost V-2 8.44 $ 14.88 a. b. Using current costing system Using proposed ABC system

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