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Adria Company recently implemented an activity-based costing system. At the beginning of the year, management made the following estimates of cost and activity in the

Adria Company recently implemented an activity-based costing system. At the beginning of the year, management made the following estimates of cost and activity in the companys five activity cost pools:

Activity Cost Pool Activity Measure Expected Overhead Cost Expected Activity
Labor-related Direct labor-hours $ 35,000 7,000 DLHs
Purchase orders Number of orders $ 4,000 2,000 orders
Material receipts Number of receipts $ 10,450 950 receipts
Relay assembly Number of relays $ 7,000 1,000 relays
General factory Machine-hours $ 240,000 40,000 MHs

2. The expected activity for the year was distributed among the companys four products as follows:

Expected Activity
Activity Cost Pool Product A Product B Product C Product D
Labor-related (DLHs) 2,400 500 3,500 600
Purchase orders (orders) 100 350 800 750
Materials receipts (receipts) 400 208 342 0
Relay assembly (relays) 170 170 300 360
General factory (MHs) 12,000 7,000 8,000 13,000

Using the ABC data, determine the total amount of overhead cost assigned to each product.

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