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 $495,380 Number of setups 620 Ordering costs 414,000 Number of orders 18,000 Machine costs 757,800 Machine hours 42,100 Receiving 392,000 Receiving hours 9,800 Deoro produces two models of dishwashers with the following expected prime costs and activity demands: Model A Model B Direct materials $638,000 $791,000 Direct labor $477,000 $477,000 Units 15,500 9,000 completed Direct labor 5,800 1,700 hours Number of 420 200 setups Number of 5,100 12,900 orders Machine hours 23,900 18,200 Receiving hours 2,100 7,700 The company's normal activity is 7,500 direct labor hours. Required: 1. Determine the unit cost for each model using direct labor hours to apply overhead. Round intermediate calculations and final answers to nearest cent. Unit Cost Model A Model B 2. Determine the unit cost for each model using the four activity drivers. Round your answers to nearest cent. Unit Cost Model A Model B 3. Which method produces the more accurate cost assignment