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Required information [The following information applies to the questions displayed belowj Craftmore Machining produces machine tools for the construction industry. The following details about overhead costs were taken from its company records. Production Activity Grinding Polishing Product modification Providing power System calibration Indirect Labor Indirect Materials Other Overhead $340, 000 500, 000 460, 000 $190, 000 $225, 000 Additional information on the drivers for its production activities follows 12, 000 machine hours Grinding and Folishing Product modification Providing power System calibration 1, 500 engineering hours 15, 000 direct labor hours 650 bat ches Required 1. Compute the activity overhead rates using ABC. Form cost pools as appropriate Answer is complete and correct. Activity Drivers ctivity Grinding and Polishing Product modification Providing power System calibration Activity Rate Cost 1200Machine hoursS Engineering $530,000$ 500,000 225,000 460,000 44.17 per machine hour 1,500 hrs S 333.33 per engineen hour 15.00 per direct labor hour 15,000Direct labor hrs.$ 650batches $ 707.69 per batch 2. Determine overhead costs to assign to the following jobs using ABC. (Do not round your intermediate calculations. Round your activity rate answers to 2 decimal places and other answers to nearest whole dollar amount.) Answer is complete and correct. IVI Driver Incurred Overhead Assigned Job 3175 Activity Rate Grinding and Polishing Product modification Providing power System calibration 44.17 per machine hour 33.33per engineering hour 15.00per direct labor hour 707.69per batch 28 510 25 19,877 9,333 7,650 17,692 54,552 Total overhead cost Overhead Assigned Job 4286 Activity Rate Driver Incurred 4,500S Grinding and Polishing Product modification Providing power System calibration 44.17 per machine hour 198,765 7,333 68,850 53,077 328,025 333.33 per engineering hour per direct labor hour 4,590 $ 707.69 per batch 75 Total overhead cost 3. What is the overhead cost per unit for Job 3175? What is the overhead cost per unit for Job 4286? (Round average overhead cost per unit to 2 decimal places. Answer is complete and correct. Job 4286 s 54.5520 5 328,025 170 2125 verage overnead cost perS 320.89S 154.36 Job 3175 Total overhead cost Number of units in job unit 4. If the company used a plantwide overhead rate based on direct labor hours, what would be the overhead cost for each unit of Job 3175? Of Job 4286? (Round OH cost per unit to 2 decimal places.) Overhead costs 0 per direct labor hour Plantwide OH Total Overhead Cost Produced Units OH Cost per unit Product DL hours rate Job 3175 Job 4286 0.00 S 0.00 S 5. Compare the overhead costs per unit computed in requirements 3 and 4 for each job. Which method more accurately assigns overhead costs? (Round your answers to 2 decimal places.) Average Overhead Cost Job 3175 Job 4286 Using ABC Using plantwide rate 320.89$ 154.36 O Plantwide rate method ABC method

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