You have recently been appointed as management accountant to Bragg Ltd. The company manufactures three types of printers. The following details relate to the three products forthe production month of June 2021. Product Laser Dot Matrixlnk Jet Output in units 600 500 600 Total direct material cost24,00025,000 36,000 Total direct labour cost 16,800 10,500 12,600 Machine hours per unit 4 3 3 The company currently absorbs overheads on the basis of machine hours. The total production overheads for the month were 130,000. The product cost calculated using absorption costing is as follows: Laser Dot Matrixlnk Jet E E E Material 24,00025,000 36,000 Labour 16,800 10,500 12,600 Overhead 54,?44 34,215 41,058 Total cost 95,544 69,?15 89,658 Cost per unit159.24 139.43 149.43 Overhead Absorption Rate: Total production overheads 130,000 = 22.81 per machine hour Total Machine Hours 5300* *total machine hours [600x4i+[500x3}+{800x3} You are considering the introduction of activity based costing and observe that the production overheads are already captured by each cost centre. An analysis of the 130,000 by the percentage attributable to each department is detailed below. You determine the associated cost drivers for each department and their use by each product, which are also included in the table below. Laser Dot MatrixlnkJet MinutesMinutes Minutes Machine A 145 140 1013 Machine B 95 4D 8D Total minute524D 180 180 You have been advised that each product passes through two machines. The time taken on each machine is detailed below: Cost type Percentage of TotalCost Driver Overhead Cost (so Machine A 32 Machine time Machine El 44 Machine time Set up 10 Number of set ups lQuality.f Inspection 14 Number ofinspections Total 100 1 [continued] ACthltY level for each product Laser Dot MatrixlnkJetTotal Number of set ups 4,8004,20D 1.900 10,9DD Number of inspectionsl.1DD 1.650 650 3.4012} Required: Note: all calculations can be shown to 2 decimal places