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After reading an article about activity-based costing in a trade journal for the furniture industry, Santana Rey decides to analyze overhead cost at Business Solutions.

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After reading an article about activity-based costing in a trade journal for the furniture industry, Santana Rey decides to analyze overhead cost at Business Solutions. In a recent month, Santana found that setup costs, inspection costs, and utility costs made up most of the company's overhead. Additional information about overhead follows. The following data pertain to Job 615 . Required: 1. Classify each of the three overhead activities as unit level, batch level, product level, or facility level. 2. Assume Business Solutions allocates overhead cost using a plantwide rate based on 5,100 machine hours. Compute total product cost of Job 615 3. Assume Business Solutions uses activity-based costing (a) Compute overhead activity rates. (b) Allocate overhead cost to Job 615 . 2. Assume Business Solutions allocates overhead cost using a plantwide rate based on 5,100 machine hours. Compute total product cost of Job 615. 3. Assume Business Solutions uses activity-based costing (a) Compute overhead activity rates. (b) Allocate overhead cost to Job 615. (c) Compute total product cost of Job 615 Assume Business Solutions allocates overhead cost using a plantwide rate based on 5,100 machine hours. Compute total product cost of Job 615. (Do not round intermediate calculations. Round "Overhead rate" to 2 decimal places. Round other answers to nearest whole number.) 3. Assume Business Solutions uses activity-based costing. (a) Compute overhead activity rates. (b) Allocate overhead cost to Job bis (9 Compute total product cost of Job 615 . Assume Business Solutions uses activity-based costing. (a) Compute overhead activity rates. (b) Allocate overhead cost to Job 615. (c) Compute total product cost of Job 615. (Round "Activity Rate" to 2 decimal places.) b. Allocate overhead to Job 615 based on actual activity usage c. Total product cost of Job 615 based on activity-based costing

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