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activity cost pool total cost total activity machine set up $18,000 100 set ups machining $96,000 8,000 machine hours order size $140,000 7,000 direct labor
activity cost pool | total cost | total activity |
machine set up | $18,000 | 100 set ups |
machining | $96,000 | 8,000 machine hours |
order size | $140,000 | 7,000 direct labor hours |
Product QRS requires one machine set up, 21 machine hours and 28 direct labor hours. The overhead cost for Product QRS is:
$212 | ||
$180 | ||
$1,108 | ||
$992
Which is correct? |
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