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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

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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 $475,600 Number of setups 580 Ordering costs 411,700 Number of orders 17,900 Machine costs 906,400 Machine hours 41,200 Receiving 406,000 Receiving hours 11,600 Deoro produces two models of dishwashers with the following expected prime costs and activity demands: Model A Model B Direct materials $588,000 $755,000 Direct labor $493,000 $452,000 Units completed 15,300 7,400 Direct labor hours 6,700 2,000 Number of setups 410 170 Number of orders 6,000 11,900 Machine hours 23,300 17,900 Receiving hours 4,000 7,600 The company's normal activity is 8,700 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 $ 70.1 x Model B 161.6 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

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