Question: Gable Company uses three activity cost pools Each pool has a cost driver Information for Gable Company follows Activity Cost Pools Machining Designing costs Setup

Gable Company uses three activity cost pools Each pool has a cost driver Information for Gable Company follows Activity Cost Pools Machining Designing costs Setup costs Total Cost of Pool Cost Driver $236,300 Number of machine hours 58,725 Number of design hours 71,350 Number of batches Estimated Cost Driver 69,500 6,750 500 E4-4 (Algo) Assigning Costs Using Activity Rates (LO 4-4) Suppose that Gable Company manufactures three products, A, B, and Information about these products follows Number of machine hours Number of design hour's Number of batches Product Product 25,000 35,000 2,700 1,550 50 180 Product C 9,500 2.500 270 E4-4 (Algo) Assigning Costs Using Activity Rates [LO 4-4] Suppose that Gable Company manufactures three products, A, B and Information about these products follows Number of machine hours Number of design hours Number of batches Product Product Product C 25,000 35,000 9,500 1.550 2,500 50 180 270 Required: Using activity rates, determine the amount of overhead assigned to each product. (Do not round intermediate calculations.) Total Overhead Assigned $ Product A Product Product $ 9 $ 143
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