After analyzing the cost allocation for the company, you have decided to use the ABC syg Cost Driver Activity Costs Desks Chairs Total Measure Assigned Machine Number of AED 4,000 6,000 10,000 Processing machine 300,000 machine hours hours Production Number of AED 120 180 300 orders Orders orders 150,000 Shipments Number of AED 80 120 200 shipments 250,000 shipments Total AED Manufacturing 700,000 overhead Required

After analyzing the cost allocation for the company, you have decided to use the ABC syg Cost Driver Activity Costs Desks Chairs Total Measure Assigned Machine Number of AED 4,000 6,000 10,000 Processing machine 300,000 machine hours hours Production Number of AED 120 180 300 orders Orders orders 150,000 Shipments Number of AED 80 120 200 shipments 250,000 shipments Total AED Manufacturing 700,000 overhead Required. (Show all calculations) 1. If you decided to use the ABC system and the three cost drivers are used to allocate overhead will be assigned to each product? (10 marks) - If the company allocates the manufacturing overhead costs by the labor hours (tradi assigned to each product? (5 marks)