McNeil Pharmaceuticals manufacturers an over-the-counter allergy medication. The company sells both large commercial containers of 1,000 capsules to health care facilities and travel packs of 20 capsules to shops in airports, train stations, and hotels. The following information has been developed to determine if an activity-based costing system would be beneficial: BE: (Click the icon to view the information.) i Data Table Read the requirements, Quality assurance S 114,000 Estimated Indirect Costs Allocation Base Activity Hint: First compute the Requirement 3. Use the predetermined overhead allocation rates to compute the activ total activity-based costs allocated to each product line, and then compute the cost per Materials handling S Estimated Quantity of Allocation Base 24,000 kilos 3,000 hours 1,900 samples 96,000 Number of kilos 210,000 Number of machine hours Begin by selecting the formula to allocate overhead (OH) costs. Packaging Predetermined OH allocation rate X Actual qty of the allocation base Quality assurance 114,000 Number of samples Total indirect costs 420,000 to travel packs then Compute the total activity-based costs allocated to commercial containers, and then cd compute the cost per unit for travel packs. (Round the cost per unit to two decimal plad Actual production information includes the following: Commercial Containers Travel Packs Commercial containers Travel packs 57,600 $ 40,800 168,000 38,400 264,000 3,200 51,000 82.50 Materials handling Packaging Quality assurance Total activity-based costs Number of units Units produced Weight in kilos 3,200 containers 14,400 2,400 640 51,000 packs 10,200 510 765 Machine hours Number of samples Activity-based cost per unit Print Done Enter any number in the edit fields and then click Check