Comprehensive Activity$-$Based Costing Exercise

Advanced Products Corporation has supplied the following data from its activity$-$based costing system:

Distribution of Resource Consumption Across Activities

During the year, Advanced Products completed one order for a new customer, Shenzen Enterprises. This customer did not order any other products during the year. Data concerning that order follow: Required: Use the template provided, save it to your desktop and then upload and submit your assignment.

$1.$ Prepare a report showing the first$-$stage allocations of overhead costs to the activity cost pools.

$2.$ Compute the activity rates for the activity cost pools.

$3.$ Prepare a report showing the overhead costs for the order from Shenzhen Enterprises including customer support costs.

$4.$ Prepare a report showing the customer margin for Shenzhen Enterprises.

$1.$ First$-$stage allocations of overhead costs to the activity cost pools:

$2.$ Computation of activity rates: $3.$ Computation of the overhead costs for the Shenzhen Enterprises order:

Activity cost pools

Activity Rate

Activity

ABC Cost

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$4.$ The customer margin for Shenzhen Enterprises is computed as follows:

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