Question: (Click the icon to view the production data.) (Click the icon to view additional information.) Read the requirements. Data table More info The owners have

 (Click the icon to view the production data.) (Click the iconto view additional information.) Read the requirements. Data table More info Theowners have heard of other companies in the industry that are nowusing an activity-based costing system and are curious how an ABC system

(Click the icon to view the production data.) (Click the icon to view additional information.) Read the requirements. Data table More info The owners have heard of other companies in the industry that are now using an activity-based costing system and are curious how an ABC system would affect their product costing decisions. After analyzing the indirect-cost pool for Daring Doors, the owners identify six activities as generating indirect costs: production scheduling, material handling machine setup, assembly, inspection, and marketing. Daring Doors collected the following data related to the indirect-cost activities: nearest cent and your final answers to the nearest Requirements 1. Calculate the cost of an interior door and an exterior door under the existing simple costing system. 2. Calculate the cost of an interior door and an exterior door under an activity-based costing system. 3. Compare the costs of the doors in requirements 1 and 2. Why do the simple and activity-based costing systems differ in the cost of an interior door and an exterior door? 4. How might Daring Doors, Inc., use the new cost information from its activity-based costing system to address the declining market share for interior doors? Click the icon to view the production data. (Click the icon to view additional information.) Requirement 1. Calculate the cost of an interior door and an exterior door under the existing simple costing system. bqt. = budqeted. qty = quantity. Requirement 2. Calculate the cost of an interior door and an exterior door under an activity-based costing system. production, sch. = scheduling, qty. = quantity.) ABC costing system Direct materials cost Direct manufacturing labor cost Indirect costs allocated: Production scheduling Materials handling Machine setup Assembly Inspection Marketing Total costs Now calculate the cost per unit for each product under ABC. (Round your answers to the nearest cent.) A. Daring Doors should consider increasing the price of its exterior doors, depending on the competition it faces in this market. the per-unit-cost-driver cost of some of those indirect resources. C. Daring Doors, Inc. can use the information revealed by the ABC system to change its pricing based on the ABC costs. D. Daring Doors, Inc. should consider decreasing the price of its exerior doors to be more competitive. E. Daring Doors, Inc. should consider decreasing the price of its interior doors to be more competitive. F. Daring Doors, Inc. should consider increasing the price of its interior doors depending on the competition it faces in this market

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