Ontario, Incorporated, manufactures two products, Standard and Enhanced, and applies overhead on the basis of direct$-$labor hours. Anticipated overhead and direct$-$labor time for the upcoming accounting period are $$800,000$ and $25,000$ hours, respectively. Information about the company$$s products follows.

Standard:

Estimated production volume, $3,000$ units

Direct$-$material cost, $$25$ per unit

Direct labor per unit, $3$ hours at $$12$ per hour

Enhanced:

Estimated production volume, $4,000$ units

Direct$-$material cost, $$40$ per unit

Direct labor per unit, $4$ hours at $$12$ per hour

Ontario$$s overhead of $$800,000$ can be identified with three major activities: order processing $($$$150,000),$ machine processing $($$$560,000),$ and product inspection $($$$90,000).$ These activities are driven by number of orders processed, machine hours worked, and inspection hours, respectively. Data relevant to these activities follow.

Orders Processed Machine Hours Worked Inspection Hours

Standard $30018,0002,000$

Enhanced $20022,0008,000$

Total $50040,00010,000$

Construct an Excel spreadsheet to solve requirements $1,2,$ and $3($a$)$ above. Show how the solution will change if the following data change: the overhead associated with order processing is $$300,000$ and the overhead associated with product inspection is $$270,000.$