1. Compute the activity overhead rates using ABC. Form cost pools as appropriate.

2. Determine the overhead costs to assign to the following jobs using ABC.

3. What is the overhead cost per unit for Job 3175? What is the overhead cost per unit for Job 4286?

ABC & Flexible Budgets-Homework Handout PROBLEM C-1A (page C-13 in Fundamental Accounting Principles, 23 ed.) Craftmore Machining produces machine tools for the construction industry. The following details about overhead costs were taken from its company records Other Production ActivityaborMaterials Overhead $320,000 $135,000 Product modification600,000 Providing power. System calibration500,000 255,000 Additional information on the drivers for its production activities follows. Grinding..13,000 machine hours 13,000 machine hours Product modification1,500 engineering hours Providing power17,000 direct labor hours System c 400 batches 1. Compute the activity overhead rates using ABC. Form cost pools as appropriate. 2. Determine the overhead costs to assign to the following jobs using ABC Job 317S 200 550 26 30 500 Job 4286 Number of units... Machine hours... Engineering hours... 5,500 32 90 4,375 Direct labor hours. 3. What is the overhead cost per unit for Job 3175? What is the overhead cost per unit for Job 4286