Venus Creations sells window treatments (shades, blinds, and awnings) to both commercial and residential customers. The following information relates to its budgeted operations for the current year. Commercial Residential Revenues $297,900 $484,000 Direct materials costs $30,100 $49,500 Direct labor costs 113,600 293,500 Overhead costs 92,800 236,500 151,000 494,000 Operating income (loss) $61,400 $(10,000) The controller, Peggy Kingman, is concerned about the residential product line. She cannot understand why this line is not more profitable given that the installations of window coverings are less complex for residential customers. In addition, the residential client base resides in close proximity to the company office, so travel costs are not as expensive on a per client visit for residential customers. As a result, she has decided to take a closer look at the overhead costs assigned to the two product lines to determine whether a more accurate product costing model can be developed. Here are the three activity cost pools and related information she developed: Activity Cost Pools Estimated Overhead Cost Drivers $96,000 Scheduling and travel Setup time Hours of travel Number of setups 74,300 Supervision 73,500 Direct labor cost Expected Use of Cost Drivers per Product Commercial Residential Scheduling and travel 970 500 Setup time 410 230 Compute the activity-based overhead rates for each of the three cost pools. (Round answers to 2 decimal places, e.g. 12.25.) Overhead Rates Scheduling and travel $ Setup time $ Supervision % eTextbook and Media Determine the overhead cost assigned to each product line. (Round answers to O decimal places, e.g. 1,575.) Commercial Residential Scheduling and travel $ $ Setup time $ $ Supervision $ $ Total cost assigned $ $ e Textbook and Media Compute the operating income for each product line, using the activity-based overhead rates. (Round answers to 0 decimal places, eg. 1,575.) Operating income (loss) Commercial $ Residential GA e Textbook and Media