need this solved step by step include formulas used to find solutions please dont abbreviate. and please show where all numbers come from

Illustration 2: Gourmet Cookbooks Pierre Press prepares two versions of goumet cookbooks: One is papentack and the other is hand-sewn and leather bound. Management is considering publishing only the higher quality book. The firm assigns its $500,000 of overtiead to the two types of books. The overhead is composed of $200,000 of utilities and $300,000 of quality control inispectors' salaries, Some additional data follow: Required: a. Compute the overhead cost that should be allocated to each type of cookbook using cost drivers appropriate for each type of overhead cost. b. The firm has used machine hours to allocate overhead in the past. Should Pierre Press stop producing the paperback cookbooks? Explain why management was considering this action and what its decision should be Income calculation using machine hours to allocate utilities and inspection hours to allocate inspectors' salaries to products: FII a Pierre Press prepares two versions of goumet cookbooks: One is paperback and the other is hand-sewn and leather bound. Management is considering publishing only the higher quality book. The firm assigns its $500,000 of overhead to the two types of books. The overhead is composed of $200,000 of utilities and $300,000 of quality control inspectors' salaries. Some additional data follow: Required: a. Compute the overhead cost that should be allocated to each type of cookbook using cost drivers appropriate for each type of overhead cost. b. The firm has used machine hours to allocate overhead in the past. Should Pierre Press stop producing the paperback cookbooks? Explain why management was considering this action and what its decision should be. Income calculation using machine hours to allocate utilities and inspection hours to allocate inspectors' salaries to products: Pierre Press prepares two versions of goumet cookbooks: One is paperback and the other is hand-sewn and leather bound. Management is considering publishing only the higher quality book. The firm assigns its $500,000 of overhead to the two types of books. The overhead is composed of $200,000 of utilities and $300,000 of quality control inspectors' salaries. Some additional data follow: Required: a. Compute the overhead cost that should be allocated to each type of cookbook using cost drivers appropriate for each type of overhead cost. b. The firm has used machine hours to allocate overhead in the past. Should Pierre Press stop producing the paperhack cookbooks? Explain why management was considering this action and what its decision should be. Solution to Demonstration Problem a b. Income calculation using machine hours to allocate utilities and inspection hours to allocate inspectors' salaries to products: Pierre Press prepares two versions of gounnet cockbooks: One is papertack and the other is hand-wewn and leather bound. Management is considering publishing only the higher quality bock. The firm assigns its $500.000 of overtiead to the two types of books. The overticad is componed of $300,000 of utilities and $300,000 of quality control inspectors' salaries. Some additional data follow: Requiredt a. Compute the overhead cost that should be allocated to each type of cookbook using cost drivers appeopriate for each type of overhead cost. b. The firm has used machine houn to allocate overhead in the past. Should Pierre Press stop producing the papertack cookbooks? Explain why management was considering this action and what is decivion should be. Solution to Demonstration Problem b. Incoene calculation using machine hours to allocate utalities and inspection hours to allocate inspectors' sabaries to products: Using the traditional cost driver (machine hours), the following results tad been achieved, given a $10 charge ($500,000+50,000) per MH : The reason papertacks were erroneousty thought to be unprotitatic was caused by the method of allocating overhead. The firm should continue producing papertacks as shown in the following cakubtions