Task 1. Following table shows some activities and cost drivers for those activities not necessarily in an arranged manner. You are required to re arrange the table so as to write appropriate cost driver in front of relevant cost pool. 3 marks Cost pool Customer order Production Purchasing materials Cost driver Direct Labour hours Number of contacts with customers Inspecting hours Machine setups Assembling products Inspecting products Customer service Purchase requisitions Number of orders Task 2. Box Springs, Inc., makes two sizes of box springs: twin and double. The direct material for the twin is $25 per unit and $40 is used in direct labour, while the direct material for the double is $40 per unit, and the labour cost is $50 per unit. Box Springs estimates it will make 5,000 twins and 9,000 doubles in the next year. It estimates the overhead for each cost pool and cost driver activities as follows: Activity Cost Estimated Use per Use per Pools Driver Overhead Twin Double Framing Square feet of pine 210,000 5,000 2,000 Padding Square feet of quilting 220,000 120,000 100,000 Filling Square feet of filling 320,000 500,000 300,000 Labeling Number of boxes 240,000 800,000 400,000 Inspection Number of inspections 170,000 12,000 5,000 How much does each unit cost to manufacture? 7 marks