ABC Company manufactures beers and soft drinks.  Beers (5,000 units) will require 1 set-up, 4 inspections and 1 assembly.  Soft drinks (2,000 units) will require 2 set-ups, 1 inspection, and 3 assemblies.  The following are information related to activity pool, activity base, budgeted amount and activity rate: 

 (a) set-ups, 100,000; P300,000; P3. 

(b)  inspections, 120,000; P600,000; P5. and

 (c) assembly, 140,000; P2,100,000; P15.  

Calculate the total factory overhead to be charged to each unit of softdrink .

 

Answer rating: 100% (QA)

Heres the breakdown Activity Costs SetupsP300000 InspectionsP600000 AssemblyP2100000 Activity Rates ... View the full answer