oblem - b, c-a (Video) haker Stairs Co. design and builds factory made premium wooden stairways for homes. The manufactured stairway components (apides, risers, hager, handrails) permit installation of stays of varying lengths and widths. All are white cak wood. Budgeted manufacturing overhead costs for the year 2020 are as follows. Overhead Cost Pool Amount Purchasing $75.000 Handling materials 82.000 Production (cutting, muling, finishing) 210,000 Setting up machines 105.000 Inspecting 120.000 Inventory control raw materials and finished goods) 126.000 utiles 450.000 Total budgeted overhead costs $1.168,000 For the last 4 years. She has Co. has been charging overhead to products on the basis of machine hours. For the year 2020. 100.000 machine hours are budgeted. De Molan, manager of Shaker Stars Crecently directed his accountant, ill Sagren, to implement the activibased costing system that he has repeatedly proposed. At Jeremy Nolan's request. Bil and the production foremanently the following cost drivers and their usage for the previously budgeted overhead cost pool Estimated Use of Activity Cost Pools Cost Drivers Cost Drivers Purchasing Number of orders 600 Handling materiale Number of moves 1.000 Production (cutting, miling, fishing) Direct laboe hours 100.000 Setting up machines Number of sets 1.250 Inspecting Number of inspection 6.000 Inventory control raw materials and finished goods) Number of components 168.000 90.000 Steve Hannon, sales manager, has received an order for 250 stairways from Community Builders, Inc, a large housing development contractor At Steve request prepares con estimates for producing components for 250 stars Steve a contract price per stay to community Builders. He cumulates the following data for the production of 250 stairways Directorials 5104.300 Direct labor $112.000 Machine hours 15.000 5.600 le Weygandt, Managerial Accounting, Be Help System Announcements CALCU Direct materials Direct labor Machine hours Direct labor hours Number of purchase orders Number of material moves Number of machine setups Number of inspections Number of components Number of square feet occupied $104,300 $112.800 15.000 5,600 60 800 100 450 16.000 8.000 Compute the predetermined overhead rate using traditional costing with machine hours as the basis. (Round answer to 2 decimal places, eg, 12.25.) Predetermined overhead rate per machine hour What is the manufacturing cost per stairway under traditional costing? (Round answer to 2 decimal places, e.g. 12.25.) Cost per stairway $ Calculate activity based overhead rate for each activity. (Round answers to 2 decimal places, ... 12.25.) Activity Overhead Rate Purchasing per order $ Handling materials 5 per move Production per O/L hour $ Setting up machines per setup $ Inspecting per inspection Inventory control per component Calculate activity-based overhead rate for each activity. (Round answers to 2 decimal places, .. 12.25.) Activity Overhead Rate Purchasing per order Handling materials per move Production per D/L hour Setting up machines per setup Inspecting per inspection Inventory control per component Utilities per sq. ft. Calculate total overhead assigned under ABC Total overhead assigned What is the manufacturing cost per stairway under the proposed activity-based costing? (Round answer to 2 decimal places, e.g. 12.25.) Total manufacturing cost per stairway