Dangerfield Enterprises produces three kinds of golf clubs: Fancy, Light, and Disco. These unique clubs incur overhead costs during production. The manager at Dangerfield Enterprises examined the overhead costs and determined the cost drivers for each cost object. ABC level Overhead cost Cost driver Fancy Light Disco Unit $50,000 Number of units 1,000 2,500 1,500 Batch $60,000 Number of set-ups 50 30 20 Product $100,000 Percent of usage 45% 25% 30% Facility $400,000 Square feet 60,000 40,000 100,000 Using activity based costing, (1) fill in the amount of overhead that is allocated to each product:

Fancy Light Disco

Unit Level:

Batch Level:

Product Level:

facility Leve

l: Total

(2) Calculate cost per unit for each golf club using activity-based costing:

Fancy:

Light:

Disco: