Part 1 --- Read the information below carefully to answer questions (1-8) * (2 points) KENT Lad produces a range of products. Manufacturing is undertaken using one of two processes the Alpha and the Omega Processes. All of the products are mandatured in hafshes. The current pricing policy has been to absorb all overheads using direct labour hours to obtain total cost. A recent detailed analysis has examined overhead cost, the results are: Analysis of overhead costs Cost permath () Monthly volume Alpha Process cost 192.000 950 hours Omega Process cost 89.600 2.560 hours Set-up cost 85.900 520 set-up Handling charges 91.200 380 movements Other overheads 101.400 (see below) Total overhead costs S60,000 There are 2.000 direct lake halise cach month Two of KENT"products are a lot and a GR27. Te produced by the Alpha Process in a simple operation GR27s are manufactured by the Omega Proces. Both products are sold be the metre Details of the two products are: JTION GR17 Monthly volume 1.000 500 metres Batch size 1.000 metres 50 metres Processing time perhatch Alpha 100 hours Omega 25 hours Set-ups per batch 2 tops Handling charges per batch I movement 5 movements Materials permetre 16 15 Direst labout permetre Direct cost Direct labour is paidat E16 per hour Q. The overhead allocation rate per metre, usige the traditional costing system based on direct labour hours, is equal to 140 62.5 125 280