Question: activity cost pool activity measure total cost total activity machining machine-hours $579600 18000 MHs machine set ups number of set ups $420000 700 setups product

activity cost pool activity measure total cost total activity

machining machine-hours $579600 18000 MHs

machine set ups number of set ups $420000 700 setups

product design number of products $56000 2 products

order size direct labor hrs $290000 20000 DLHs

Avtivity measure Product B820 Product P99Y

machining 10000 8000

number ofset ups 450 250

number of products 1 1

Direct labor hrs 8400 11600

calculated the rates for cost pool as follows:

Rate of machining cost pool = 579600/18000 = $32.2/MH

Rate of machine set ups cost pool = 420000/700 = $600/setup

Rate of product design cost pool = 56000/2 = $28000/product

Rate of order size cost pool = 290000/20000 = $14.5/DLH

question: considering the rates calculated in 3. how much total manufacturing overhead cost would be assigned to product B820?

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