A company has two products: A and B. It uses activity-based costing and has prepared the following analysis showing budgeted cost and activity for each of its three activity cost pools:

		Budgeted Activity
Activity Cost Pool	Budgeted Cost	Product A	Product B
Activity 1	$103,000	4,600	4,400
Activity 2	$78,000	6,100	7,100
Activity 3	$125,000	4,100	6,850

Annual production and sales level of Product A is 35,900 units, and the annual production and sales level of Product B is 71,150 units. What is the approximate overhead cost per unit of Product A under activity-based costing?

$1.52

$3.77

$2.40

$10.26

$11.44

Kamper Company sells two products Big Z and Little Z. Current direct material and direct labor costs are detailed below. Next year, the company wishes to use a plantwide overhead rate with direct labor hours as its allocation base. Next year's overhead is estimated to be $483,000. The direct labor and direct materials costs are estimated to be consistent with the current year. Direct labor costs $20 per hour and the company expects to manufacture 40,000 units of Big Z and 17,000 units of Little Z next year.

	Direct Material per Unit	Direct Labor Dollars per Unit
Big Z	$14	$15
Little Z	$20	$10

What are total estimated direct labor hours for this next year?

38,500 total DLH.

770,000 total DLH.

340,000 total DLH.

1,425,000 total DLH.

1,110,000 total DLH.

Gold Company uses a plantwide overhead rate with machine hours as the allocation base. Use the following information to solve for the amount of machine hours estimated per unit of product RST.

Direct material cost per unit of RST	$21
Total estimated manufacturing overhead	$312,000
Total cost per unit of RST	$86
Total estimated machine hours	156,000 MH
Direct labor cost per unit of RST	$29

18 MH per unit of RST.

2 MH per unit of RST.

22 MH per unit of RST.

49.50 MH per unit of RST.

50 MH per unit of RST.

The following data relates to Spurrier Company's estimated amounts for next year.

Estimated:	Department 1	Department 2
Manufacturing overhead costs	$1,200,000	$3,400,000
Direct labor hours	545,000 DLH	795,000 DLH
Machine hours	95,000 MH	29,000 MH

What is the company's plantwide overhead rate if direct labor hours are the allocation base? (Round to two decimal places)

$3.43 per direct labor hour.

$3.55 per direct labor hour.

$2.20 per direct labor hour.

$0.33 per direct labor hour.

$0.53 per direct labor hour.

K Company estimates that overhead costs for the next year will be $3,400,000 for indirect labor and $850,000 for factory utilities. The company uses direct labor hours as its overhead allocation base. If 85,000 direct labor hours are planned for this next year, what is the company's plantwide overhead rate?

$0.02 per direct labor hour.

$50.00 per direct labor hour.

$40.00 per direct labor hour.

$10.00 per direct labor hour.

$0.10 per direct labor hour.