Setups Inspections Total manufacturing overhead costs 320,000 5,000 setups 40,000 8,000 inspections $420,000 During 2020, two customers, Wooper Managers and Health Systems, are expected to use the following printing services: Activity Wooper Managers Health Systems Pages 60,000 76,000 Design changes 10 Setups 20 10 Inspections 30 38 Required: A) As Sande Printers uses ABC Costing, calculate all required rates they should use to allocate their manufacturing overhead costs B) Assuming printing material of $1600 and direct labor of $1,800 were spent on this contract, calculate total cost of the Wooper Managers contract under the same costing system Sande Printers has contracts to complete weekly supplements required by forty-six customers. For the year 2020, manufacturing overhead cost estimates total $420,000 for an annual production capacity of 12 million (12,000,000) pages. For 2020 Sande Printers has decided to evaluate the use of additional cost pools. After analyzing manufacturing overhead costs, it was determined that number of design changes, setups, and inspections are the primary manufacturing overhead cost drivers. The following information was gathered during the analysis: Cost pool Design changes Setups Inspections Total manufacturing overhead costs Manufacturing overhead costs Activity level $60,000 300 design changes 320,000 5,000 setups 40,000 8,000 inspections $420,000 During 2020, two customers, Wooper Managers and Health Systems, are expected to use the following printing services: Activity Wooper Managers Health Systems Pages 60,000 76,000 Design changes 10 0 Setups 20 10 Inspections 30 38 Setups Inspections Total manufacturing overhead costs 320,000 5,000 setups 40,000 8,000 inspections $420,000 During 2020, two customers, Wooper Managers and Health Systems, are expected to use the following printing services: Activity Wooper Managers Health Systems Pages 60,000 76,000 Design changes 10 Setups 20 10 Inspections 30 38 Required: A) As Sande Printers uses ABC Costing, calculate all required rates they should use to allocate their manufacturing overhead costs B) Assuming printing material of $1600 and direct labor of $1,800 were spent on this contract, calculate total cost of the Wooper Managers contract under the same costing system