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Isadore's Implements, Inc., manufactures pers and mechanical pencils often used for gifts. Overhead costs are currently allocated using direct labor-hours but the controlier has recommended

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Isadore's Implements, Inc., manufactures pers and mechanical pencils often used for gifts. Overhead costs are currently allocated using direct labor-hours but the controlier has recommended an activity-based costing system using the following deto Activity Setting up Inspecting Packing and shipping Total overhead Cost Driver Number of Setups Number of parts Number of boxes shipped pens Cost $ 93,100 29,000 57,500 $129,600 Cost Driver Volume Pencils 18 31 4 6 50,000 65,000 Required: . Compute the amount of overhead to be allocated to each product under activity-based costing b. Compute the amount of overhead to be allocated to each product using labor-hours as the allocation base. Assume that the number of labor-hours required to assemble each box is 01 for pencils and 01 for pens and that 50.000 boxes of pencils and 65.000 boxes of pens were produced during the period. Complete this question by entering your answers in the tabs below. Required A Required Compute the amount of overhead to be allocated to each product under activity-based costing. (Do not round Intermediate calculations.) Overhead Pencils Pens Required B > Isadore's Implements, Inc, manufactures pens and mechanical pencils often used for gifts. Overhead costs are currently allocated using direct labor-hours, but the controller has recommended an activity-based costing system using the following data Activity Setting up Inspecting Packing and shipping Total overhead Cost Driver Number of setups Number of parts Number of boxes shipped Cost $ 99, 100 29,000 57,500 $179.000 Cost Driver Volume Pencils pens 18 31 4 6 50,000 65,000 Required: a. Compute the amount of overhead to be allocated to each product under activity-based costing b. Compute the amount of overhead to be allocated to each product using labor-hours as the allocation base. Assume that the number of labor hours required to assemble each box is 01 for pencils and 01 for pens and that 50.000 boxes of pencils and 65.000 boxes of pens were produced during the period, Complete this question by entering your answers in the tabs below. Required A Required B Compute the amount of overhead to be allocated to each product using labor-hours as the allocation base. Assume that the number of labor hours required to assemble each box is 0.1 for pencils and 0.1 for pens and that 50,000 boxes of pencils and 65,000 boxes of pens were produced during the period. Do not round intermediate calculations and round your final answers to the nearest whole dollar) Show Ins Overhead Pencils Per

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