Instructions Mello Manufacturing Company is a diversified manufacturer that manufactures three products (Alpha, Beta, and Omega) in a continuous production process. Senior management has asked the controller to conduct an activity-based costing study. The controller identified the amount of factory overhead required by the critical activities of the organization as follows: 1 Activity Activity Cost Pool 2 Production $242,089.00 3 Setup 88,425.00 4. Material handling 9,253.00 5 Inspection 49,623.00 6 Product engineering 167,990.00 7 Total $557,380.00 Production Machine hours Setup Number of setups Material handling Number of parts Inspection Number of inspection hours Product engineering Number of engineering hours The activity-base usage quantities and units produced for the three products were determined from corporate records and are as ollows: Machine Number of Number of Number of Number of Hours Setups Parts Inspection Hours Engineering Hours Units Alpha 984 57 84 441 125 1,366 Beta 847 126 158 284 191 991 Omega 390 210 245 248 219 475 Total 2,221 393 487 973 535 2,832 Each product requires 40 minutes per unit of machine time. Required: Complete the Activity Tables for Alpha, Beta and Omega. 1. Determine the activity rate for each activity.* 2. Use the activity rates in (1) to determine the total and per-unit activity costs associated with all three products.* 3. Why aren't the activity unit costs equal across all three products since they require the same machine time per unit? *If required, round all per-unit amounts to the nearest cent. Activity Table - Alpha Shaded cells have fe Alpha Activity- Activity Base Activity Activity Usage Rate = Cost Production 984 mh $ /mh $242,089 X Setup 57 setups $ Isetup 88,425 X Material handling 84 parts $ /part Inspection 441 insp. hours $ /hour Product Engineering 125 eng. hours /hour Total activity cost $ Number of units Activity cost per unit $ Activity Table - Beta Shaded cells have fe Beta Activity- Activity Base Activity Activity Usage Rate Cost Production $ $ Setup $ Material handling $ Inspection $ Product Engineering $ Total activity cost $ Number of units Activity cost per unit $ Points: Activity Table - Omega Omega Activity- Activity Base Activity Activity Usage Rate Cost Production $ > Setup $ Material handling $ Inspection $ Product Engineering $ Total activity cost Number of units Activity cost per unit $