Do It! Review 4-2

Flynn Industries has three activity cost pools and two products. It expects to produce 3,410 units of Product BC113 and 1,200 of Product AD908. Having identified its activity cost pools and the cost drivers for each pool, Flynn accumulated the following data relative to those activity cost pools and cost drivers.

Annual Overhead Data						Expected Use of Cost Drivers per Product
Activity Cost Pools		Cost Drivers		Estimated Overhead		Expected Use of Cost Drivers per Activity		Product BC113		Product AD908
Machine setup		Setups		$15,799		37		23		14
Machining		Machine hours		92,808		5,156		1,163		3,993
Packing		Orders		25,650		513		189		324

Using the above data, do the following:

	Your answer is correct.

Prepare a schedule showing the computations of the activity-based overhead rates per cost driver.

Activity Cost Pools		Estimated Overhead		Expected Use of Cost Drivers per Activity			Activity-Based Overhead Rates
Machine setup		$			setups		$	per setup
Machining					machine hours		$	per machine hr.
Packing					orders		$	per order
		$

SHOW ANSWER

LINK TO TEXT

	Your answer is partially correct. Try again.

Prepare a schedule assigning each activitys overhead cost to the two products.

BC113

AD908

Activity Cost Pools

Expected Use of Cost Drivers per Product

Activity-Based Overhead Rates

Cost Assigned

Expected Use of Cost Drivers per Product

Activity-Based Overhead Rates

Cost Assigned

Machine setup

$

$

$

$

Machining

$

$

Packing

$

$

Total assigned costs

$

$

LINK TO TEXT

	Your answer is incorrect. Try again.

Compute the overhead cost per unit for each product. (Round answers to 2 decimal places, e.g. 12.25.)

		BC113		AD908
Overhead cost per unit		$		$