Motor Lid. is a company specialised in manufacturing and selling car battery chargers. The manufacturing process involves two main departments: Department A deals with battery assembly and Department B deals with pack mounting. Motor Ltd. (1) currently uses a plant-wide overhead rate based on direct labour hours for allocating overhead costs. For the current quarter, the budget includes f130,000 for overhead costs, $24,000 for direct labour costs in Department A (battery assembly) paid at $16 per hour, and $60,000 for direct labour costs in Department B (pack mounting) paid at $12 per hour. Motor Lid. is working on two jobs which require the following inputs: Job X Job Y Direct materials f 16,000 E 12,000 Direct Labour - Battery assembly (Dep.A) E 4,400 E 2,400 Direct Labour - Pack mounting (Dep.B) E 6,600 E 3,600 The number of units produced for Job X is 1,000, while for Job Y is 900. Motor Lid. has hired Giulia, a new management accountant, who suggests replacing the current allocation system based on a plant-wide rate with (2) departmental overhead rates where assembly overhead of $64,000 is allocated based on machine hours (16,000 hours) and pack mounting overhead of $66,000 is allocated based on pack mounting direct labour hours. Based on her experience in the industry, Giulia suggests also to implement an (3) activity based costing system, taking into account that the company is growing and the complexity of the business is increasing. Giulia has identified the following activities, their estimated cost for the quarter, their cost drivers and cost driver quantities for the quarter included in the f130,000 overheads: Activity Activity Cost Cost Driver Cost Driver Qty Set up production lines f 33,000 Setup hours 3,300 Battery assembly E 40,000 Machine hours 25,000 Pack mounting E 32,000 DL hours 6,400 Final quality test E 25,000 # inspections 5,000 E 130,0003. Recalculate the total and per unit cost for each job using activity-based costing overhead rates {Assume Job I requires 45 setup hours and 5MB of units are inspected; assume Job Y requires 5!] setup hours and 411% of units are inspected], Where needed, show your answer to 2 decimal places. In so doing, ensure you show your workings clearly. {15 marks}