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Doede Corporation uses activity-based costing to compute product margins. In the first stage, the activity-based costing system allocates two overhead accounts-equipment depreciation and supervisory expense-to

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Doede Corporation uses activity-based costing to compute product margins. In the first stage, the activity-based costing system allocates two overhead accounts-equipment depreciation and supervisory expense-to three activity cost pools--Machining. Order Filing, and Other--based on resource consumption. Data to perform these allocations appear below: Overhead coats Equipment depreciation Supervisory expense $92,000 $ 4,000 Distribution of Resource Consumption Across Activity Cost Pools: Equipment depreciation Supervisory expense Activity Cost Poola Machining Order Filling 0.60 0.20 0.30 0.20 Other 0.20 0.50 In the second stage. Machining costs are assigned to products using machine-hours (MH) and Order Filing costs are assigned to products using the number of orders. The costs in the other activity cost pool are not assined to products, Activity Product wi Product MO MS (Machining) 4,200 15,800 SA Orders (Order Pilling) 800 200 NAR Product W1 Product MO Total M (Machining) 4,200 15,800 20.000 Orders (Order Filling 800 200 1,000 Finally, sales and direct cost data are combined with Machining and Order Filing costs to determine product margins, Sales and Direct Cost Data Sales (total) Direct materials (total) Direct labor (total) Product W1 Product MO $236,500 $262,000 590,900 $123, 900 $110,400 $.76, 100 How much overhead cost allocated to the Machining activ cost po inder activity-based costing in the first stage of allocation

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