Multiple Versus Single Overhead Rates, Activity Drivers Deoro Company has identified the following overhead activities, costs, and activity drivers for the coming year: Expected Cost Activity Driver Activity Capacity Activity Setting up equipment $552,000 Number of setups 690 Ordering costs 347,400 Number of orders 19,300 Machine costs 864,000 Machine hours 43,200 Receiving 430,500 Receiving hours 10,500 Dearo produces two models of dishwashers with the following expected prime costs and activity demands: Model A Model B Direct materials $604,000 $775,000 Direct labor $499,000 $452,000 Units completed 16,000 8,200 Direct labor hours 5,800 2,200 Number of setups 440 250 Number of orders 6,400 12,900 Machine hours 24,300 18,900 Receiving hours 3,900 6,600 The company's normal activity is 8,000 direct labor hours.