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1. Larner Corporation is a diversified manufacturer of industrial goods. The company's activity- based costing system contains the following six activity cost pools, cost and
1. Larner Corporation is a diversified manufacturer of industrial goods. The company's activity- based costing system contains the following six activity cost pools, cost and activity : Activity Cost Pool Cos t Activity J78 W52 Supporting direct 700 800 direct labor 0 hour labor- 200 direct labor- hour Machine processing 300 100 machine hour 50 Machine Hour 0 Machine setups 120 3 set up 2 set up Production orders 160 10 order 5 order 0 Shipments 600 5 shipments 5 shipments Product sustaining 160 1 product 1 product Activity data have been supplied for the following products J78 W52 Direct labor- hours 100 40 Sales revenue Taka Taka 28000 16000 Direct Labor rate is 50 per Direct Material hour Taka 5500 Taka 4500 Required: Determine the total overhead cost & product margin that would be assigned to each of the products listed above in the activity-based costing system
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