Question: Activity Cost Pool Activity Rates Supporting direct labor $ 6 per direct labor-hour Machine processing $ 4 per machine-hour Machine setups $ 50 per setup

Activity Cost Pool Activity Rates Supporting direct labor $ 6 per direct labor-hour Machine processing $ 4 per machine-hour Machine setups $ 50 per setup Production orders $ 90 per order Shipments $ 14 per shipment Product sustaining $ 840 per product Activity data have been supplied for the following two products: Total Expected Activity K425 M67 Number of units produced per year 209 2,090 Direct labor-hours Machine-hours 1, 509 Machine setups 1 4 Production orders 1 4 Shipments 10 Product sustaining 1 1 Required: How much total overhead cost would be assigned to K425 and M67 using the activity-based costing system? Activity Cost Pool K425 M67 Supporting direct labor Machine processing Machine setups Production orders Shipments Product sustaining Total overhead cost
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
