Multiple Versus Single Overhead Rates, Activity Drivers Deoro Company has identified the following overhead activities, costs, and activity drivers for the coming year: Activity Expected Cost Activity Driver Activity Capacity Setting up equipment $503,040 Number of setups 640 Ordering costs 312,800 Number of orders 18,400 Machine costs 884,100 Machine hours 42,100 Receiving 364,800 Receiving hours 9,600 Deoro produces two models of dishwashers with the following expected prime costs and activity demands: Model A Model B Direct materials $626,000 $755,000 Direct labor $463,000 $480,000 Units completed 15,200 8,300 Direct labor hours 5,300 2,300 Number of setups 390 250 Number of orders 6,200 12,200 Machine hours 24,200 17,900 Receiving hours 2,200 7,400 The company's normal activity is 7,600 direct labor hours. Required: