Exercise 17-14 Activity-based costing LO P3 A2 Glassworks Inc. produces two types of glass shelving, rounded edge and squared edge, on the same production line. For the current period, the company reports the following data. Direct materials Direct labor Overhead (3008 of direct labor cost) Total cost Quantity produced Average cost per ft. (rounded) Rounded Edge $ 9,500 6,100 18,300 $33,900 10.400 ft Squared Edge Total $21,800 $ 31,300 11,800 17,900 35,400 53,700 $69,000 $102,900 14.100 ft. $ 4.89 Glassworks's controller wishes to apply activity based costing (ABC) to allocate the $53,700 of overhead costs incurred by the two product lines to see whether cost per foot would change markedly from that reported above. She has collected the following information Overhead Cost Category (htivity Cost Pool) Supervision Depreciation of machinery Assembly line preparation Total overhead Cost $ 2,148 28,680 22,872 $53,700 She has also collected the following information about the cost drivers for each category (cost pool) and the amount of each driver used by the two product lines. (Round activity rate and cost per unit answers to 2 decimal places.) Overhead Cost Category (Activity Cost Pool) Driver Rounded Edge Squared Edge Total 1 Chapters 14 to 17 8 Weeks Spring 2020 Help Save & Exit Submit She has also collected the following information about the cost drivers for each category (cost pool) and the amount of each driver used by the two product lines. (Round activity rate and cost per unit answers to 2 decimal places.) Overhead Cost Category (Activity Cost Pool) Supervision Depreciation of machinery Assembly line preparation Driver Direct labor cost ($) Machine hours Setups (number) Rounded Edge $6,100 200 hours 30 tines Squared Edge $11,800 700 hours 94 times Total $17,900 900 hours 124 times 27.40 ces Activity Rate Required: 1. Assign these three overhead cost pools to each of the two products using ABC. Activity Overhead Cost Activity Drivers Supervision $ 2,148 $ 17,900 Direct labor cost Depreciation of machinery 28,680 900 Machine hours Assembly line preparation 22,872 124 Setups Activity driver Overhead assigned Activity rate incurred Rounded edge Supervision Depreciation of machinery Assembly line preparation Activity driver incurred Overhead assigned Activity rate Squared edge Components Supervision Depreciation of machinery