1. Darlas Dishes uses an activity-based costing system to price products. Calculate the cost of Plates and Platters for July based on the following information. Direct Costs Plates Platters Direct Materials $200,000 $100,000 Direct Labor $80,000 $20,000 Shipping $2,500 $1,000 Overhead Costs Assigned to products Design Costs $ 10,000 Allocated based on the number of product designs Engineering Costs $15,000. Allocated based on assembly line setups. Order Costs $2,000. Allocated based on the number of orders.

In July, 40,000 Platters and 50,000 plates were produced.

Allocation Basis

Product Designs: Platters 30- Plates 50

Assembly line setups: Platters 10 Plates 20

Number of Orders : Platters 25- Plates 10