Prescott makes handheld calculators in two models basic and professional Prescott estimated 5721.000 of manufacturing overhead and 515.000 machine hours for the year. The basic model actually consumed 230.000 machine hours, and the professional model consumed 285.000 machine hours. The predetermined overhead allocatione using machine hours as the allocation base is $100 per machine hour with the allocated overhead costs split between the basic model and the professional model by 5322.000 and $3.000, respectively Click the icon to view the data using multiple department allocation) Cide the con to view additional data) Read the recents Requirement 1. Prescott pects to produce 220.000 bas models and 220 000 professional models Compute the predetermined overhead allocation rates using activity based costing How much overhead is located to the basic model to the professional model? Begin by electing the formula to calculate the predetermined overhead (OH) alocation rate. Then enter the amounts to compute the location rate for each ach Abbreviation oed Oy * quantity Enter the material handing location to four decimal places and the remaining location rates to the nearest cent) Material Handling Machines insertion of Pats How much overhead is located to the basic model to the professional model? Choose from any or enter number in the Colds and then continue to the question Prescott wants to further refine its costing system by allocating overhead using activity-based costing. The estimated $721,000 of manufacturing overhead has been divided into three primary activities: Materials Handling, Machine Setup, and Insertion of Parts. The following data have been compiled: Materials Handling Machine Setup Insertion of Parts Total Overhead costs $99,000 $ 127,000 $495.000 $ 721,000 Allocation Base Number of parts Number of setups Number of parts Expected usage Basic Model 35 parts per calculator 20 setups per year 35 parts per calculator Professional Model 55 parts per calculator 36 setups per year 55 parts per calculator Print Done i Data Table $ Manufacturing overhead-Assembly Manufacturing overhead-Packaging Total manufacturing overhead cost Basic Model Professional Model 404,300 $ 245,700 6.500 64,500 410,800 $ 310,200 $ Print Done How much overhead is allocated to the basic model? To the professional model? Begin by selecting the formula to allocate overhead (OH) costs. (Abbreviation used: Qty = quantity.) Allocated mfg overhead costs Compute the total overhead allocated to the basic model, and then compute the total overhead allocated to the professional model. Basic Model Professional Model Manufacturing overhead-Materials Handling Manufacturing overhead-Machine setup Manufacturing overheadInsertion of Parts Total manufacturing overhead cost Choose from any list or enter any number in the input fields and then continue to the next question Requirement 2. Compare the activity based costing results from Requirement with the company's results using a single plantwide rate and using multiple department rates. What conclusions can you draw? Begin by completing the table below to show the total and per unit overhead allocated to each model under each of the three different allocation methods (Round per unit amounts to the nearest cent) Basic Model Professional Model Total MOH Per Unit Total MOH Per Unit Single plantwide allocation rate Multiple department allocation rates Activity-based allocation rates What conclusions can you draw? What conclusions can you daw? The allocation using is the most accurate because it considers the resources used by each model Management can now see that compared to the costs allocated using the single olantwide rate, the model cost less than expected and the model cost more than expected to produce Choose from any list or enter any number in the input fields and then continue to the next