1.

Bera Corporation uses the following activity rates from its activity-based costing to assign overhead costs to products:

Activity Cost Pools	Activity Rate
Assembling products	$	4.36	per assembly hour
Processing customer orders	$	49.73	per customer order
Setting up batches	$	77.73	per batch

Data for one of the company's products follow:

	Product Q79P
Number of assembly hours	267
Number of customer orders	57
Number of batches	83

How much overhead cost would be assigned to Product Q79P using the activity-based costing system? (Round your intermediate calculations to 2 decimal places.)

Multiple Choice

• $10,450.32

• $53,650.74

• $6,451.59

• $131.82

2.

Spates, Inc., manufactures and sells two products: Product H2 and Product E0. Data concerning the expected production of each product and the expected total direct labor-hours (DLHs) required to produce that output appear below:

	Expected Production	Direct Labor-Hours Per Unit	Total Direct Labor-Hours
Product H2	120	6.2	744
Product E0	120	5.2	624
Total direct labor-hours			1,368

The companys expected total manufacturing overhead is $267,468.

If the company allocates all of its overhead based on direct labor-hours, the overhead assigned to each unit of Product H2 would be closest to: (Round your intermediate calculations to 2 decimal places.)

Multiple Choice

• $224.70 per unit

• $166.34 per unit

• $391.04 per unit

• $1,212.22 per unit

3.

Weirick, Inc., manufactures and sells two products: Product T8 and Product P4. The company has an activity-based costing system with the following activity cost pools, activity measures, and expected activity:

		Estimated		Expected Activity
Activity Cost Pools	Activity Measures	Overhead Cost		Product T8	Product P4	Total
Labor-related	DLHs	$	137,100	3,200	1,600	4,800
Production orders	orders		64,650	900	500	1,400
Order size	MHs		1,011,170	2,500	3,100	5,600
		$	1,212,920

The total overhead applied to Product P4 under activity-based costing is closest to: (Round your intermediate calculations to 2 decimal places.)

rev: 03_25_2018_QC_CS-119201

Multiple Choice

• $946,520

• $559,767

• $628,553

• $1,075,820

4.

Olmo, Inc., manufactures and sells two products: Product K0 and Product H9. The annual production and sales of Product of K0 is 1,100 units and of Product H9 is 1,100 units. The company has an activity-based costing system with the following activity cost pools, activity measures, and expected activity:

Activity Cost Pools	Activity Measures	Estimated Overhead Cost			Expected Activity
					Product K0	Product H9	Total
Labor-related	DLHs	$	550,108		11,000	5,500	16,500
Production orders	orders		53,119		1,200	400	1,600
Order size	MHs		835,716		3,900	3,700	7,600
		$	1,438,943

The overhead applied to each unit of Product H9 under activity-based costing is closest to: (Round your intermediate calculations to 2 decimal places.)

rev: 03_25_2018_QC_CS-119201

Multiple Choice

• $166.70 per unit

• $548.64 per unit

• $369.87 per unit

• $261.62 per unit

5.

Abbe Company uses activity-based costing. The company has two products: A and B. The annual production and sales of Product A is 1,300 units and of Product B is 800 units. There are three activity cost pools, with estimated costs and expected activity as follows:

Activity Cost Pools	Estimated Overhead Cost			Expected Activity
				Product A	Product B	Total
Activity 1	$	25,965		800	700	1,500
Activity 2	$	44,597		1,800	500	2,300
Activity 3	$	58,242		520	500	1,020

The overhead cost per unit of Product B is closest to: (Round your intermediate calculations to 2 decimal places.)

Multiple Choice

• $33.57

• $21.90

• $62.95

• $49.37

6.

Snavely, Inc., manufactures and sells two products: Product E1 and Product A7. Data concerning the expected production of each product and the expected total direct labor-hours (DLHs) required to produce that output appear below:

	Expected Production	Direct Labor-Hours Per Unit	Total Direct Labor-Hours
Product E1	600	8.0	4,800
Product A7	200	4.0	800
Total direct labor-hours			5,600

The direct labor rate is $27.10 per DLH. The direct materials cost per unit for each product is given below:

	Direct Materials Cost per Unit
Product E1	$233.00
Product A7	$285.00

The company has an activity-based costing system with the following activity cost pools, activity measures, and expected activity:

		Estimated		Expected Activity
Activity Cost Pools	Activity Measures	Overhead Cost		Product E1	Product A7	Total
Labor-related	DLHs	$	117,100	4,800	800	5,600
Machine setups	setups		55,210	700	200	900
Order size	MHs		863,520	2,900	3,600	6,500
		$	1,035,830

The activity rate for the Order Size activity cost pool under activity-based costing is closest to:

rev: 03_25_2018_QC_CS-119201

Multiple Choice

• $146.38 per MH

• $132.85 per MH

• $123.08 per MH

• $184.97 per MH