Intermediate: Calculation of ABC product costs.

EF manufactures and sells; three products X, Y and Z. The following production overhead costs are budgeted for next year:

Required:
Calculate the total budgeted production overhead cost for each product using activity-based budgeting.

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Activity Set-up Material handlina Inspection eta production overheads 59 $ 560000 242000 386000 1188000 Budgeted details for each of the products tor next year are as follows: Product X Product Y Product Z Production units 10000 16000 18000 Batch size 100 200 300 Number of set-ups 2 3 6 per batch Number of material 16530 20938 17632 movements Number of inspections 1188 1782 2430