Tableau DA 17-3: Mini-Case, Assigning overhead costs and making decisions 2. Chrom produced 25,000 units of XL and 25,000 units of RD Each unit of the XL model used 2 direct labor hours and 1 machine hour. Each unit of the RD model used 3 direct labor hours and 3 machine hours (a) Compute the overhead cost per unit of each model using ABC. (b) Alternatively, compute the overhead cost per unit of each model using a single plantwide overhead rate based on direct labor hours 3. The company gives a bonus to production managers based on their ability to lower the cost of their assigned model. a. Which overhead cost allocation method would the XL production manager prefer? b. Which overhead cost allocation method would the RD production manager prefer? Complete this question by entering your answers in the tabs below. 24 Required 2A Required 28 Required 3 Compute the overhead cost per unit of each model using ABC. Required 2A Required 28 Required 3 Compute the overhead cost per unit of each model using ABC. RD Allocated cost Activity Usage XL Activity Rate 60 per MH 16 per DLH Activ Activity Usage 25,000 MH 10,000 DLH S $ 1,500,000 Activity Maintenance Supervision Totals Units produced Overhead cost per unit MH $ $ $ DLH 1,500,000 0 Required 2A Required 2B > model using ABC RD Allocated cost Activity Usage Allocated cost XL Activity Rate 60 per MH 16 per DLH $ 1,500,000 MH S Activity Rate 60 per MH 16 per DLH DLH S S 1,500,000 $ 0 0 0 Required 2 Required 2B >