comparing costs from ABC and single-rate systems

> Problems Group A P24-27A Comparing costs from ABC and single-rate systems Learning Objectives 1,2 Corbertt Pharmaceuticals manufactures an over-the-counter allergy medication The company sells both large commercial containers of 1,000 capsules to health-care facilities and travel packs of 20 capsules to shops in airports, train stations, and hotels. The following information has been developed to determine if an activity-based costing system would be beneficial: 2. Travel packs $2.48 per unit Estimated Indirect Cost Estimated Quantity of Allocation Base 9,000 kilos 3,000 hours 1,500 samples Activity Allocation Base Materials handling$ 95,00 Number of kilos Packaging Quality assurance otal indirect costs 444,500 225,000 Number of machine hours 24,500 Number of samples