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Activity-Based Costing: Factory Overhead Costs The total factory overhead for Bardot Marine Company is budgeted for the year at $721,100, divided into four activities:
Activity-Based Costing: Factory Overhead Costs The total factory overhead for Bardot Marine Company is budgeted for the year at $721,100, divided into four activities: fabrication, $338,000; assembly, $140,000; setup, $132,600; and inspection, $110,500. Bardot Marine manufactures two types of boats: speedboats and bass boats. The activity-base usage quantities for each product by each activity are as follows: Fabrication Speedboat 6,500 dlh Assembly 21,000 dlh Setup 47 setups Inspection 81 inspections Bass boat 19,500 7,000 343 569 26,000 dlh 28,000 dlh 390 setups 650 inspections Each product is budgeted for 6,500 units of production for the year. a. Determine the activity rates for each activity. Fabrication per direct labor hour Assembly Setup Inspection per direct labor hour per setup per inspection b. Determine the activity-based factory overhead per unit for each product. Round to the nearest whole dollar. Speedboat Bass boat per unit per unit
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