Question: Coats Galore, Inc. uses activity-based costing as the basis for information to set prices for its six lines of seasonal coats. Calculate the activity-based overhead
Coats Galore, Inc. uses activity-based costing as the basis for information to set prices for its six lines of seasonal coats. Calculate the activity-based overhead rates using the following budgeted data for each of the activity cost pools.
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Activity Cost Pools Designing Sizing and cutting Stitching and trimming Wrapping and packing Estimated Overhead $ 450,000 4,000,000 1,440,000 336,000 Expected Use of Cost Drivers per Activity 10,000 designer hours 160,000 machine hours 80,000 labour hours 32,000 finished units
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