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As part of their response to the public health crisis, the Company plans to launch a new service to produce and deliver bulk-sized dog food

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As part of their response to the public health crisis, the Company plans to launch a new service to produce and deliver bulk-sized dog food and cat food products directly to individual customers rather than through retailers. This requires a more complex process of assembling units, processing orders, and supporting customers. As a result, the Company plans to adopt activity-based costing, which yields the following projections for the next period: Activity cost pool Cost Driver Assembling units #units Processing orders #orders Supporting customers #customers Other N/A Total costs to allocate to products Budgeted Overhead $ 32,000 $ 12,000 $ 50,000 $ 66,000 $ 160,000 Budgeted # Cost Drivers 16,000 24,000 2,000 Cost Drivers per customer Dog food Cat food 4 6 4 2 1 1 9. (1 point each) identify the activity cost pool or cost driver that BEST matches each of the following descriptions. Use each item from the table above only once. Transaction cost driver 2 Organization-sustaining activity cost pool 3 4 Customer-level activity cost pool 5 26 Unit-level activity cost pool 27 28 Batch-level activity cost pool 29 30 10. (1 point each) Compute the following amounts. 31 32 Assume that the Company adopts activity-based costing: 33 34 a. Overhead rate for assembling units activity 35 36 b. Overhead rate for processing orders activity 37 38 c. Overhead rate for supporting customers activity 39 omer 10. (1 point each) Compute the following amounts. Assume that the Company adopts activity-based costing: a. Overhead rate for assembling units activity b. Overhead rate for processing orders activity c. Overhead rate for supporting customers activity d. Total overhead applied for dog food for one customer e. Total overhead applied for cat food for one customer Now assume the Company uses 'number of units' as a basis to allocate overhead f. Total number of units g. Predetermined plantwide overhead rate h. Total overhead applied for dog food for one customer i. Total overhead applied for cat food for one customer

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