Please help by filling in the blanks. Thank you!

Pickle Motorcycles, Inc. (PMI), manufactures three motorcycle models: a cruising bike (Route 66), a street bike (Main Street), and a starter model (Alley Cat). Because of the different materials used, production processes for each model differ significantly in terms of machine types and time requirements. Once parts are produced, however, assembly time per unit required for each type of bike is similar. For this reason, PMI allocates overhead on the basis of machine-hours. Last year, the company shipped 1,200 Route 66s, 2,000 Main Streets, and 5,300 Alley Cats and had the following revenues and expenses. PICKLE MOTORCYCLES, INC. Income Statement Route 66 Main Street Alley Cat Total Sales revenue $ 7,700,000 $ 11,800,000 $ 9,500,000 $ 29,000,000 Direct costs Direct materials 3,300,000 5,100,000 4,200,000 12,600,000 Direct labor 283,000 470,000 1,050,000 1,803,000 Variable overhead Machine setup 500,000 Order processing 1,440,000 Warehousing costs 1,794,000 Energy to run machines 918,000 Shipping 516,000 Contribution margin 9,429,000 Fixed overhead Plant administration 1,700,000 Other fixed overhead 2,720,000 Gross profit $ 5,009,000 PMI's chief financial officer (CFO) hired a consultant to recommend cost allocation bases. The consultant recommended the following. Alley Cat 45 Activity Setting up machines Processing orders Warehousing Using energy Shipping Cost Driver Number of production runs Number of sales orders received Number of units held in inventory Machine-hours Number of units shipped 700 Activity Level Main Street 30 500 150 18,000 3,700 Route 66 25 400 230 10,000 1,200 400 26,000 8,000 The consultant found no basis for allocating the plant administration and other fixed overhead costs and recommended that these not be applied to products. Required: a. Using machine-hours to allocate production overhead, complete the income statement for Pickle Motorcycles. (See the "using energy" activity for machine-hours.) Do not attempt to allocate plant administration or other fixed overhead. b. Complete the income statement using the bases recommended by the consultant. c. How might activity-based costing result in better decisions by Pickle Motorcycles's management? Complete this question by entering your answers in the tabs below. Required A Required B Required C Using machine-hours to allocate production overhead, complete the income statement for Pickle Motorcycles. (See the "using energy" activity for machine-hours.) Do not attempt to allocate plant administration or other fixed overhead. (Round your variable overhead rate to 2 decimal places and your final answers to the nearest whole dollar amount. Input all amounts as positive values.) Show less PICKLE MOTORCYCLES Income Statement Route 66 Main Street 7,700,000 $ 11,800,000 $ Alley Cat 9,500,000 $ Total 29,000,000 $ 3,300,000 283,000 5,100,000 470,000 4,200,000 1,050,000 12,600,000 1,803,000 Sales revenue Direct costs: Direct material Direct labor Variable overhead Contribution margin Fixed overhead: Plant administration Other fixed overhead Gross profit 1,700,000 2,720,000 5,009,000 $ Required A Required B > Complete this question by entering your answers in the tabs below. Required A Required B Required C Complete the income statement using the bases recommended by the consultant. (Do not round intermediate calculations. Input all amounts as positive values.) PICKLE MOTORCYCLES Income Statement Route 66 Main Street Back Alley Total $ 7,700,000 $ 11,800,000 $ 9,500,000 $ 29,000,000 3,300,000 283,000 5,100,000 470,000 4,200,000 1,050,000 12,600,000 1,803,000 Sales revenue Direct costs: Direct material Direct labor Variable overhead: Machine setup Order processing Warehousing costs Energy to run machines Shipping Contribution margin Fixed overhead: Plant administration Other fixed overhead Gross profit 500,000 1,440,000 1,794,000 918,000 516,000 1,700,000 2,720,000 $ 5,009,000 Complete this question by entering your answers in the tabs below. Required A Required B Required C How might activity-based costing result in better decisions by Pickle Motorcycles's management? The activity-based costing method provides a more detailed breakdown of the costs. The activity-based costing method provides a consolidated summary of the costs.