Adams Industries produces two electronic decoders, P and Q$.$ Decoder P is more sophisticated and requires more programming and testing than does Decoder Q$.$ Because of these product differences, the company wants to use activity$-$based costing to allocateoverhead costs. It has identified four activity pools. Relevant information follows:

Activity Pools

Cost Pool

Repair and maintaining

Total

$5$:$56$

on assembly machine

Cost Driver Number of units produced

$$94,400$

Programming cost Software inspections

$100,190$

Number of programming hours Number of inspections

$8,700$

Product testing

$9,240$

Number of tests

Total overhead acost

$212,530$

Expected activity for each product follows:

Number of

Programming

Number of Inspections

Number of Tests

Units

Hours

Decoder Decoder

$22,000$

$1,900$

$182$

$1,200$

$37,000$

$2,400$

$2,100$

Total

$59,000$

$,300$

$300$

$3,300$

$009$

Redquired

a$.$ Compute the overhead rate for each activity pool.b$.$ Determine the overhead cost allocated to each product.

B

Complete this question by entering your answers in the tabs below.

Required A

Prey

$31$ of $34$

Next $>$