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1 2 Barbie Car Company is a manufacturer of electric golf carts. The company's activity - based costing system contains the followi activity cost pools
Barbie Car Company is a manufacturer of electric golf carts. The company's activitybased costing system contains the followi activity cost pools and activity rates:
tableActivity Cost Pool,Activity RatesSupporting direct labor,$ per direct laborhourMachine processing,$ per machinehourMachine setups,$ per setupProduction orders,$ per orderShipments$ per shipmentProduct sustaining,$ per product
Activity data have been supplied for the following two products:
tableTotal Expected,ActivityMNumber of units produced per year,Direct laborhours,Machinehours,Machine setups,Production orders,ShipmentsProduct sustaining,
Required:
How much total overhead cost would be assigned to K and M using the activitybased costing system?
tableActivity Cost Pool,KMSupporting direct labor,,Machine processing,,Machine setups,,Production orders,,ShipmentsProduct sustaining,,Total overhead cost,$
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