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I need help on 2 please Deoro Company has identified the following overhead activities, costs, and activity drivers for the coming year: Activity Expected Cost
I need help on 2 please Deoro Company has identified the following overhead activities, costs, and activity drivers for the coming year: Activity Expected Cost Activity Driver Activity Capacity Setting up equipment $478,200 Number of setups 600 Ordering costs 404,800 Number of orders 17,600 Machine costs 836,000 Machine hours 41,800 Receiving 392,000 Receiving hours 11,200 Deoro produces two models of dishwashers with the following expected prime costs and activity demands: Model A Model B $562,000 $811,000 453,000 461,000 Direct materials Direct labor Units completed Direct labor hours Number of setups 16,900 8,500 6,900 1,900 370 230 Number of orders 5,600 12,000 Machine hours 23,400 18,400 Receiving hours 3,600 7,600 The company's normal activity is 8,800 direct labor hours. The company's normal activity is 8,800 direct labor hours. Required: 1. Determine the unit cost for each model using direct labor hours to apply overhead. Round intermediate calcu nearest cent. Unit Cost Model A 158 Model B 203.27 2. Determine the unit cost for each model using the four activity drivers. Round your answers to nearest cent. Unit Cost Model A Model B 3. Which method produces the more accurate cost assignment? Four activity drivers
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