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Allocate the overhead costs to the products A, B, and C using activity-based costing with the following cost drivers and cost pools: Cost Pools Total

Allocate the overhead costs to the products A, B, and C using activity-based costing with the following cost drivers and cost pools:

Cost Pools

Total Cost

Activity Driver

Product A

Product B

Product C

Setup

$30,000

Number of setups

10

20

15

Material Handling

$40,000

Direct labor hours

500

700

600

Inspection

$20,000

Number of inspections

50

30

40

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