Two-Stage ABC for Manufacturing Merlot Company has determined its activity cost pools and cost drivers to be the following: Cost Pools Setup $28,000 Material handling 6,400 Machine operation 120,000 Packing 60.000 Total indirect manufacturing costs $214,400 Cost drivers Setups 350 Material moves Machine hours 20,000 Packing orders 1,200 640 One product made by Merlot, metal casements, used the following activities during the period to produce 500 units: Setups 20 Material moves 80 Machine hours 1,900 Packing orders 150 $ a. Calculate the cost per unit of activity for each activity cost pool for Merlot Company, Setup costs 480 x Materials handling costs $ 20 X Machine operating costs $ Packing costs $ 50 12 x b. Calculate the manufacturing overhead cost per metal casement manufactured during the period. Round cost per unit to two decimal places, if needed. Manufacturing Overhead Cost per Metal Casement Setups 1,600 Material moves Machine hours Dacking der 800 11,400 2.750 Material moves 80 Machine hours 1,900 Packing orders 150 a. Calculate the cost per unit of activity for each activity cost pool for Merlot Company Setup costs $ 480 x Materials handling costs $ 20 X Machine operating costs $ 12 X Packing costs 50 $ b. Calculate the manufacturing overhead cost per metal casement manufactured during the period. Round cost per unit to two decimal places, if needed. Manufacturing Overhead Cost per Metal Casement Setups 1,600 Material moves 800 Machine hours 11,400 Packing orders 3,750 X Total manufacturing overhead 17,750 x Casements produced OX Cost per casement 737.6 x $ $