Question: You have been asked to create a cost pool for Building Costs and a cost pool for Machine costs. Based on the information above what

You have been asked to create a cost pool for Building Costs and a cost pool for Machine costs. Based on the information above what is the total budgeted costs for the building cost pool?

Use the information in Question 5 to answer question. The best cost driver to apply the building cost pool would be

a. Building Square feet

B. Direct labor hours

C. Machine hours

D. Units Produced

Use the information in question 5 to answer this question

Using the best cost driver for the building cost pool, calculate the predetermined overhead rate for the month.

Department A - Actual Results

Machine hours 42,000.00

Building square footage 3,500.00

Direct Labor hours 30,000.00

Units Produced 165,000.00

How much machine cost would you allocate to department A? ( just calculate the cost applied for the Machine Cost Pool.

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