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After reading an article about activity based costing in a trade journal for the furniture industry, Santana Rey decides to analyze overhead cost at Business Solutions. In a recent month, Santana found that setup costs, inspection costs, and utility costs made up most of the company's overhead. Additional information about overhead follows Activity Budgeted cost Budgeted Activity Usage Set up $ 20,000 25 setups Inspection 7,500 5,000 parts inspected Utilities 10.000 5,000 machine hours (M) Total $ 37,500 The following data pertain to Job 515 $ 2,500 $ 3,500 Direct materials Direct labor Overhead Setups Parts inspected Machine hours 2 setups 400 parte inspected 600 machine hours Required: 1. Classily each of the three overhead activities as unit level, batch level, product level, or facility level 2. Assume Business Solutions allocates overhead cost using a plantwide rate based on 5,000 machine hours. Compute total product cost of Job 615 3. Assume Business Solutions uses activity based costing (m) Compute overhead activity rates. (b) Allocate overhead cost to Job 615, (Compute total product cost of Job 615, Required 1 Required 2 Required 3 Required: 1. Classify each of the three overhead activities as unit level, batch level, product level, or facility level. 2. Assume Business Solutions allocates overhead cost using a plantwide rate based on 5,000 machine hours. Compute total product cost of Job 615 3. Assume Business Solutions uses activity-based costing (a) Compute overhead activity rates. () Allocate overhead cost to Job 615. ( Compute total product cost of Job 615 Required 1 Required 2 Required 3 Classify each of the three overhead activities as unit level, batch level, product level, or facility level. Setup Inspection Utilities Ragutreda Required 2 > Required: 1. Classify each of the three overhead activities as unit level, batch level, product level, or facility level, 2. Assume Business Solutions allocates overhead cost using a plantwide rate based on 5,000 machine hours. Compute total product cost of Job 615. 3. Assume Business Solutions uses activity-based costing. (a) Compute overhead activity rates. (b) Allocate overhead cost to Job 615. ( Compute total product cost of Job 615. Required 1 Required 2 Required 3 Assume Business Solutions allocates overhead cost using a plantwide rate based on 5,000 machine hours. Compute total product cost of Job 615. (Round "Overhead rate" to 2 decimal places.) Allocate overhead to Job 615 using plantwide rate Department Plantwide Machine Overhead Rato Hours Used Overhead Allocated Job 615 Total product cost of Job 615 Direct Materials Direct Labor Overhead Product Cost Job 615 $ Required 1 Required 2 Required 3 Assume Business Solutions uses activity-based costing. (a) Compute overhead activity rates. (b) Allocate overhead cost to Job 615. (C) Compute total product cost of Job 615. (Round "Activity Rate" to 2 decimal places.) a. Compute overhead activity rates Activity Activity Rate Setup per setup Inspection per part Utilities per MH b. Allocate overhead to Job 615 based on actual activity usage Activity Allocated Cost Setup Inspection Utilities Total allocated cost $ c. Total product cost of Job 615 based on activity based costing Job 615 Direct Materials Direct Labor Overhead Product Cost $ 0