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Xie Company identified the following activities, costs, and activity drivers for this year. The company manufactures two types of go- karts. Deluxe and Basic Activity

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Xie Company identified the following activities, costs, and activity drivers for this year. The company manufactures two types of go- karts. Deluxe and Basic Activity Expected Costs Expected Activity Handling materials $625,000 100,000 parts Inspecting product 900, eee 1,500 batches Processing purchase orders 105,000 700 orders Paying suppliers 175,000 580 invoices Insuring the factory 300,000 49,800 square feet Designing packaging 75,000 2 models Assume that the following information is available for the company's two products for the first quarter of this year. Production value Parts required Batches made Purchase orders Invoices Space occupied Models Deluxe Model 10,000 units 20,000 parts 250 batches 50 orders Se invoices 10,000 sq. ft. 1 model Basic Model 30,000 units 30,000 parts 160 batches 20 orders 10 Invoices 7,000 54. ft 1 model Required: Compute activity rates for each activity and assign overhead costs to each product model using activity-based costing (ABC). What is the overhead cost per unit of each model? (Round activity rate and average OH cost per unit answers to 2 decimal places.) Requirea. Compute activity rates for each activity and assign overhead costs to each product model using activity-based costing (ABC). What is the overhead cost per unit of each model? (Round activity rate and average OH cost per unit answers to 2 decimal places.) Deluxe Cost driver quantity incurred OH Allocated Activity Handling materials Inspecting product Processing orders Paying suppliers Insuring factory Designing packaging $ $ $ $ $ $ Activity Rate 625 per part 60000 per batch 150 00 per order 350 00 per invoice 750 per st 37,500.00 per model Activity Rate Cost driver quantity incurred OH Allocated Basic Activity Handing materials Inspecting product Processing orders Paying suppliers Insung factory Designing packaging

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