I Weygandt, Managerial Accounting, Fifth Canadian Edition US Help System Announcements PRINTER VERSION BACK NEXT Question 16 GoGo Ltd. manufactures three models of children's swing sets: Standard, Deluxe, and Super. The Standard set is made of steel, the Deluxe set is made of aluminum, and the Super set is made of a titanium aluminum alloy. Because of the different materials used, production requirements differ significantly across models in terms of machine types and time requirements. However, once the parts are produced, assembly time per set is similar for the three models. For this reason, Gefio has adopted the practice of allocating overhead costs on the basis of machine hours. Last year, the company produced 5,000 Standard sets, 500 Deluxe sets, and 2.000 Super sets. The company had the following revenues and expenses for the year: $1,415,000 GOGO LTD. Income Statement Year Ended December 31, 2020 Standard Deluxe Super Sales $475,000 $380,000 $560,000 Direct costs: Direct materials 200,000 150,000 240,000 Direct labour 54,000 14,000 24,000 Variable overhead costs: Machine set-ups Order processing Warehouse 590,000 92,000 24,750 59,850 91,200 33,520 523,680 Contribution margin Fixed overhead costs: Plan administration Other 183,570 The chief Financial officer of GoGo has hired a consultant to recommend cost allocation bases. The consultant has recommended the following: Activity Level Standard Deluxe Super Total Activities Machine set-ups Sales order processing warehouse costs Shipping Cost Drivers No. of production runs No. of sales orders received No. of units held in inventory No. of units shipped 320 240 5,410 220 125 560 315 115 2.410 8,380 MacBook Air UU HE IS Announcements PRINTER VERSION BACK BACK NEXT Seorder process Warehouse costs Shipping PARIS of orders received No. of units held in invertory 240 1 25 decimal places... 25.225 and The constant found me he forcing the plant admision and other fed vead costs, and recommended that they not be applied to products (a) Com the income wa s the base recommended by the constant. Do not allow any feed overhead costs (Round overhead rates to final answers to decimal places . 1925.) GOGO LTD. Income Statement Year Ended December 31, 2020 Standard Deluxe Super Total $475,000 $30,000 5 0.000 51.415.000 Direct material 200,000 54.000 150.000 14.000 240,000 24,000 0.000 92.000 Variable overhead costs Warehouse 91 200 Como maryn Fed overhead cost Pantanir LINK TO TEXT MacBook Air