William Inc. is considering the adoption of an activity-based costing system. They have gathered the following data with regards to budgeted activities, costs, and cost drivers: Activity Budgeted Overhead Activity Driver Budgeted Per Capacity Setups $189,000 Number of setups 225 Setups Material Purchasing Machining Packaging $27,000 $252,000 $45,000 Number of orders 1,350 Orders Machine hours 15,750 Machine hours Packing orders 1,875 Packing orders What is the activity rate that would be used for Setups? HINT: remember to apply the entry rules. What is the activity rate that would be used for Material Purchasing? HINT: remember to apply the entry rules. What is the activity rate that would be used for Machining? HINT: remember to apply the entry rules. What is the activity rate that would be used for Packaging? HINT: remember to apply the entry rules. A/ The company produces a product, Module W. The following information about actual production for the year is as follows: Module W Units completed 7,500 Number of setups 150 Number of orders 450 Machine hours Packing orders 9,000 575 Using the above information, determine the total overhead applied to all of the Module W products for the year. Using the total overhead allocated to Module W, calculate the overhead allocated to each unit of Module W.