Valley Supplies manufactures two types of tables: Basic and Deluxe. The firm uses a single, plant wide overhead rate based on machine hours - the application rate is $80 per machine hour. Production and product-costing per unit data are as follows: Basic Deluxe Budgeted production (units) units 16,000 units 30,000 Direct material Direct labour $ 40 $ 65 $ 25 $ 25 Overhead $??? $??? The controller, who is considering the use a activity-based-costing (ABC). has identified three activities within the firm's overhead. These are manufacturing setups, machine processing, and product shipping. Data on the number of setups, machine hours, and outgoing shipments, which are the activities' three respective cost drivers, are listed below: Basic Deluxe Total Setups 100 60 160 Machine hours 32,000 45,000 77,000 Outgoing shipments 200 150 350 The firm's total overhead of $6,160,000 is subdivided as follows: - manufacturing setups $ 1,344,000 - machine processing 3,696,000 radiusianina 11 120.000 The controller, who is considering the use a activity-based-costing (ABC), has identified three activities within the firm's overhead. These are manufacturing setups, machine processing, and product shipping. Data on the number of setups, machine hours, and outgoing shipments, which are the activities' three respective cost drivers, are listed below: Basic Deluxe Total Setups 100 60 160 Machine hours 32,000 45,000 77,000 Outgoing shipments 200 150 350 The firm's total overhead of $6,160,000 is subdivided as follows: - manufacturing setups $ 1,344,000 - machine processing 3,696,000 - product shipping 1,120,000 PART A 1. Calculate the total cost of each product using the CURRENT overhead rate determined. Use the spaces above to answer this part (8 marks) PART B 2. Calculate the new per unit product costs for both products using the activity-based costing system (12 marks)