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Need to know asnwer and calculation for traditional method and abc method ..please answer with clear and proper answer..dont wanna hand writting answer! The tolowy

Need to know asnwer and calculation for traditional method and abc method ..please answer with clear and proper answer..dont wanna hand writting answer! image text in transcribed
The tolowy keswo products A and B, which use the same plant and production proces. Information has been prepared for the forthcoming period Product Product A Product Machine hr per unit 15 hours Volume (produce and sell) 800 units 5 hours 400 units Total production the followding he drthead etimated for the fothcoming perlod has been analysed under Power Set up costs Material ordering cost Material handiling cost Inspection Spare part administration 21,000 4,000 4,000 6,800 7.200 6,000 Overheads are currently absorbed by a machine hour rate. An investigation into production overhead activities has revealed the following in relation to each unit of the two products: Set ups Material order Number of Inspection Number of spare parts times material handled Product A Product B 2 12 10 4 2 If an Activity Based Costing system is introduced, power costs will continue to be absorbed by a machine hour rate. a) You are required to calculate, the overhead cost per unit for each of product A and product B by using, L. Traditional absorption costing ii. Activity based costing (4 marks) (10 marks) b) Describe 2 advantages that arise from the technique used in Activity Based Costing as compared with current absorption rate 6 marks

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