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Bramble Industries has three activity cost pools and two products. It estimates production 2,000 units of Product BC113 and 1,000 of Product AD908. Having identified
Bramble Industries has three activity cost pools and two products. It estimates production 2,000 units of Product BC113 and 1,000 of Product AD908. Having identified its activity cost pools and the cost drivers for each pool, Bramble accumulated the following data relative to those activity cost pools and cost drivers. Activity Cost Pools Machine setup Machining Packing (a) Activity Cost Pools Annual Overhead Data Machine setup Using the above data, do the following: Machining Packing- Cost Drivers $ Setups $ Machine hours Orders Estimated Overhead $23,400 Estimated Overhead 97,280 30,680 Estimated Use of Cost Drivers per Product Estimated Use of Cost Drivers per Activity Prepare a schedule showing the computations of the activity-basd overhead rates per cost driver. 39 5,120 520 Estimated Use of Cost Drivers per Activity setups machine hours Product BC113 orders. 1,060 200 23 $ $ $ Product AD908 16 4,060 320 Activity-Based Overhead Rates per setup per machine hr. per order
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