Manufacturing overhead Selling and administrative overhead Total overhead costs The company's ARC system has the following activity cost pools and activity measures: Overhead Cont $500,000 300,000 $500,000 Activity Cast Pand Assembling units Processing orders Customer support Other Activity Me Number of units Number of customer orders Number of customers These costs are not allocated to products or customers Costs assigned to the "Other" activity cost poot have no activity measure; they consist of the costs of unused capacity and organization-sustaining costs, neither of which are assigned to orders. customers, or the product. Advanced Products distributes the costs of manufacturing overhead and selling and administrative overhead to the activity cost pools based on interviews with employees as reported below: Manufacturing overbead Selling and administrative overhead Total activity Required Assembling Unit 50% 10% 1,000 units Posing Orders 35% 45% Customer Support 5% Other Total 10% 100% 25% 20% 100% 250 orders 100 customers 1. Prepare a report showing the first stage allocations of overhead costs to the activity cost pools. (Use & Exhibit 7-7 as a guide) 2. Compute the activity rates for the activity cost pools. (Use Exhibit 7-5 as a guide.) 3. Prepare a report showing the overhead costs attributable to Shenzhen Enterprises, one of Advanced Products' customers. Last year, Shenzhen ordered fling cabinets four different times. Shenzhen ordered to filing cabinets in total during the year. (Use Exhibit 7-11 d.) 4. The selling price of a ling cobinet is $595. The cost of direct materials is $150 per filing cabinet, and direct labour is $50 per filing cabinet. What is the customer margin of Shenzhen Enterprises? (Use Extat 7-13 as a guide.) Page 264