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Durban Metal Products makes specialty metal parts and uses activity - based costing for internal decision - making purpr company has four activity cost pools
Durban Metal Products makes specialty metal parts and uses activitybased costing for internal decisionmaking purpr company has four activity cost pools as follows:
tableActivity Cost Pool Activity Measure,Activity Rate,Order size,Number of direct laborhours,$ per direct laborhourCustomer orders,Number of customer orders,$ per customer orderProduct testing,Number of testing hours,$ per testing hourSellingNumber of sales calls,$ per sales call
The company's owner wants to know the cost of a customer order requiring direct laborhours, hours of prode sales calls.
Required:
What is the total overhead cost assigned to this order?
tableActivity Cost Pool,ABC CostOrder size,Customer orders,Product testing,SellingTotal overhead cost,
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