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. Arabian Fabrics has budgeted overhead costs of $1,100,000. It has allocated overhead on a plant wide basis to its two products Elite Premier The

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. Arabian Fabrics has budgeted overhead costs of $1,100,000. It has allocated overhead on a plant wide basis to its two products Elite Premier The company has decided to experiment with activity-based costing The company has created two activity cost pools and related activity cost drivers. These two cost pools are: Assembling (cost driver is number of parts) and Testing (cost driver is number of tests). Overhead allocated to the Assembling cost pool is $500,000 and $600,000 is allocated to the Testing cost pool. Additional information related to these pools is as follows Number of parts Number of tests Elite 130,000 1,000 Premier 120,000 500 Total 250,000 1,500 1 A. List the activity cost pools, activity cost drivers and their overhead. Activity cost pools Cost drivers Estimated overhead Assembling Testing Davinto the artist.haced overhead rates B. Calculate the activity-based overhead rates Activity cost pools Estimated Overhead Expected Use of Cost Driver per Activity Activity Based Overhead Rates Assembling Testing I C. Calculate the total overhead costs assigned for each, Elite and Premier products Activity cost pools Estimated Overhead Expected Use of Cost Driver per Activity Activity Based Overhead Rates Assembling Testing TOTAL OVERHEAD COST ASSIGNED D. Using information in the question and answer in part C, calculate the OVERHEAD COST PE UNIT FOR BOTH ELITE AND PREMIER PRODUCTS and with the information in the box, below what would be the PRODUCT COST PER UNIT for cach? + Elite Premier Number of units produced 55,000 Number of units produced 44,000 Overhead Cost per unit: Overhead Cost per unit Direct material per unit $20 1 Direct material per unit $25 Direct material per unit $15 Direct material per unit. $23 Product cost per Unit Product cost per Unit

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