Question
Bird Company has the following overhead costs and cost drivers. Direct labor hours are estimated at 100,000 for the year. Activity Cost Pool Cost Driver
Bird Company has the following overhead costs and cost drivers. Direct labor hours are estimated at 100,000 for the year.
| Activity Cost Pool | Cost Driver | Estimated Overhead | Cost Driver Activity |
| Ordering and Receiving | Orders | $20,900 | 500 orders |
| Machine Setup | Setups | $30,500 | 450 setups |
| Machining | Machine hours | $52,500 | 125,000 hours |
| Assembly | Parts | $63,600 | 1,000,000 parts |
| Inspection | Inspections | $36,000 | 500 inspections |
Overhead is applied using traditional costing based on direct labor hours. What is the overhead application rate?
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COSHH Audit Control Of Substances Hazardous To Health A Complete Guide To Understanding A COSHH Audt For Your Business
Authors: HASTAM
1st Edition
1852520981, 978-1852520984
