Baird Company produces commercial gardening equipment. Since production is highly automated, the company allocates its overhead costs to product lines using activity-based costing. The costs and cost drivers associated with the four overhead activity cost pools follow: Cost Cost driver Unit Level $ 78,300 2,700 labor hrs. Activities Batch Level $26,880 48 setups Req A and B Product Level $18,000 Percentage of use Production of 780 sets of cutting shears, one of the company's 20 products, took 290 labor hours and 8 setups and consumed 15 percent of the product-sustaining activities. Required Req C a. Had the company used labor hours as a companywide allocation base, how much overhead would it have allocated to the cutting shears? b. How much overhead is allocated to the cutting shears using activity-based costing? c. Compute the overhead cost per unit for cutting shears first using activity-based sting and then sing direct labor hours for allocation if 780 units are produced. If direct product costs are $150 and the product is priced at 30 percent above cost for what price would the product sell under each allocation system? Complete this question by entering your answers in the tabs below. Facility Level $204,000 17,000 units Had the company used labor hours as a companvwide allocation base. how much overhead would it have allocated to the

Baird Company produces commercial gardening equipment. Since production is highly automated, the company allocates its overhead costs to product lines using activity-based costing. The costs and cost drivers associated with the four overhead activity cost pools follow: Production of 780 sets of cutting shears, one of the company's 20 products, took 290 labor hours and 8 setups and consumed 15 percent of the product-sustaining activities. Required a. Had the company used labor hours as a companywide allocation base, how much overhead would it have allocated to the cutting shears? b. How much overhead is allocated to the cutting shears using activity-based costing? c. Compute the overhead cost per unit for cutting shears first using activity-based costing and then using direct labor hours for allocation if 780 units are produced. If direct product costs are $150 and the product is priced at 30 percent above cost for what price would the product sell under each allocation system? Complete this question by entering your answers in the tabs below