Trendy Inc. makes two styles of trophies, basic and delwxe, and operates at capacity. Trendy does large custom orders. Trendy budgats to produce 10.000 basic trophies and 5.000 deluxe thophies. Manufacturing takes place in two production departments: forming and assembly, In the forming department, indirect manufarduring costs are accumulated in two cost pocis: setup and general overhead. In the assembly dopartment, all indirect manufacturing costs are accurvitated in one ganeral overhead cost pool. The basic trophies are formed in batches of 200 , but because of the more intricate detail of the deluxe trophies, they aro formed in bsitches of 50 . (Cick the ioen to view budgeted information.) Requirement 1. Caiculate the budgetod unit cost of basic and deluxe tophives based on a single plari-wide oveitead fate if total overhead is aliocated based on total direct costs. (Don't forgot to include direct material and direct manufacturing labour cost in your unit cost calculation.). Start by calculating the total direct costs for the basic and deluxe trophies departments. Data table The controller has asked you to compare plant-wide, department, and activity-based cost allocation. Trendv Rudineted Information for the Year Ended Novemher 30 akes two styles of trophies, basic and deluxe, and operates at capacity. Trendy does large , 000 deluxe trophies. Manufacturing takes place in two production departments: forming ar imulated in two cost pools: setup and general overhead. In the assembly department, all in Data table Assembly Total direct materials Direct manufacturing labour Forming Assembly Total direct manufacturing labour Total direct costs Next, calculate the budgeted overhead rate for total overhead allocated based on total direct costs. First select the formula; then enter the applicable amounts and calculate the rate, (Round yout answer to the nearest cent, $X. Abbreviations used: DC = Direct cost, DL = Direct labour, $= dollar.) Next, calcutate the budgeted overhead rate for total overhead allocated based on total direct costs. First belect the formula; then enter the appicable amounts and colculate the rate. (Round your aniwer to the nearest cent, $. Abbreviations uned: DC = Direct cost, DL = Direct labour, 5= dotlar.) Finally, calculate unit cost for the basic and deluxe trophies. (Round your final answer to the nearest cent, $X.) Requirement 2. Calculate the budqeted unit cost of basic and deluxe trophies based on departmental overhead rates where forming dep: Requirement 2. Calculate the budgeted unit cost of basic and dolwe trophies based on departmental overhead rates where forming department overhead costs are allocated based on direct manufacturing labour costs of the forming department and assembly department overhead costs are allocated based on total direct manufacturing labout costs of the assembly department. Start by caiculating the bodgeted overhead rate for the forming and assembly departments based on direct manufacturing labour costs. First select the formula; then onter the apolicable amounts and calculate the rates, (found the budgeted overhead rates to the nearest cent, $ ) Forming Assembly Finally, calculate the unit cost for the basic and deluxe trophies. (Round your final answer to the nearest cent, $.) Requirement 3. Calculate the budgeted unit cost of basic and deluxe trophies if Trendy allocates overhead costs in each department using activity where setup costs are allocated based on number of batchos and general overhead costs for each department are allocated based on direct manu Requirement 3. Calculate the budgeted unit cost of basic and deluxe trophies if Trendy allocates overhead costs in each department using activity.based costing where setup costs are allocated based on number of batches and general overhead costs for each deparment are allocated based on direct manufacturing labour costs of each departiment. Begin by calculating the budgeted setup rate for the forming department, First select the formula; then enter the applicable amounts and calculate the rate, (Round yout answer to the nearest whole doltar. Abbreviations used: DC - Direct cost, DL = Direct labour, $= dollar,) 5 w dollir Now calculate the budgeted cost of basic and deluxe trophies if Trendy allocates overhead costs in each department using activity based costing. (Round your answers to the nearest whole dollar.) inally, calculate unit cost for the basic and deluxe trophies. (Round your final answer to the nearest cent, SX XX.) Finally, calculate unit cost for the basic and deluxe trophies. (Round your final answer to the nearest cent, $ ) Requirement 4. Explain briefy wty plant-wide, department, and activity-based costing systems show cilferent costs for the basic and detuxe trophias. Which system would you recommend and why? As Trendy uses more refined cost pools, the costs of basic trophies and the costs of deluxe trophies for deluxe trophies compared to basic trophies. This results in deluxe trophies being use a higher proportion of cost drivers. Direct costs are in the simple costing system. and basic trophies being use the activity-based costing system because it helps managers activity-based costing system is to understand, which pricing, cost reduction, and design decisions