Horton, Reiser, and Associates, a law firm, employs ABC. The following Estimated data for each of the activity cost pools is provided for 2022:

 

During 2022, the firm worked 660 research hours, 10,000 professional hours, and prepared 25,000 document pages. 

Compute the activity based overhead rate for each cost pool and the total overhead applied during the year 2022.

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Activity Cost Pools Researching legal issues Preparing legal documents Meeting with clients Estimated Overhead $ 31,500 480,000 1,760,000 Estimated Use of Cost Drivers per Activity 900 research hours 30,000 pages 8,800 professional hours Activity Cost Pools Researching legal issues Preparing legal documents Meeting with clients Estimated Overhead $ 31,500 480,000 1,760,000 Estimated Use of Cost Drivers per Activity 900 research hours 30,000 pages 8,800 professional hours

Answer rating: 100% (QA)

a First we compute the predetermined overhead rate ... View the full answer