Teradyne Crystal makes fine tableware in its Ireland factory. The following data are taken from its production plans for 2009.
Direct labor costs . . . . . . . ‚¬5,870,000
Setup costs . . . . . . . . . . . . 630,000

Required
1. Determine the setup cost per unit for the wine glasses and for the commemorative vases if setup costs are assigned using a single plantwide overhead rate based on direct labor hours.
2. Determine setup costs per unit for the wine glasses and for the commemorative vases if the setup costs are assigned based on the number of setups.
3. Which method is better for assigning costs to each product?Explain.

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Wine Glasses Commemorative Vases Expected production...- Direct labor hours required ···· Machine setups required 211,000 units 254,000 DLH 17.000 units 16,400 DLH 800 setupS 200 setups