Several years after reengineering its production process, Biltmore Corporation hired a new controller, Christine Erickson. (Click the icon to view additional information.) For the upcoming year, Biltmore's budgeted ABC manufacturing overhead allocation rates are as follows: (Click the icon to view the additional data.) The number of parts is now a feasible allocation base because Biltmore recently installed a plantwide computer system. Biltmore produces two wheel models: Standard and Deluxe. Budgeted data for the upcoming year are as follows: (Click the icon to view the additional data.) Read the requirements Requirement 1. Compute the total budgeted manufacturing overhead cost for the upcoming year (Enter the rates to two decimal places.) Biltmore Corporation Total Budgeted Indirect Manufacturing Costs Budgeted Quantity of Activity Cost Total Budgeted Activity Cost Allocation Base Allocation Rate Indirect Cost Materials handling Machine setups Insertion of parts Finishing Total budgeted indirect cost X i More Info She developed an ABC system very similar to the one used by Biltmore's chief rival. Part of the reason Erickson developed the ABC system was because Biltmore's profits had been declining even though the company had shifted its product mix toward the product that had appeared most profitable under the old system. Before adopting the new ABC system, the company had used a plantwide overhead rate based on direct labor hours that was developed years ago. Print Done - i Data Table Activity Cost Activity Allocation Base Allocation Rate Materials handling .. Number of parts $ 3.00 per part Machine setup ....... Number of setups $ 350.00 per setup Insertion of parts ... Number of parts $ 24.00 per part Finishing ... Finishing direct labor hours $ 56.00 per hour Print Done i Data Table X Standard Deluxe ... Parts per wheel 6.0 8.0 Setups per 1,000 wheels .... 20.0 20.0 Finishing direct labor hours per wheel ..... 1.5 3.5 Total direct labor hours per wheel ........ 2.6 3.8 The company's managers expect to produce 1,000 units of each model during the year. Print Done