Exercise 4-5 (Algo) Assigning Overhead to Products in ABC [LO4-2, LO4-3] Sultan Company uses an activity-based costing system. At the beginning of the year, the company made the following estimates of cost and activity for its five activity cost pools: Activity Measure Direct labor-hours Number of orders Expected Overhead Cost $ 142,500 $ 15,535 Expected Activity 28,500 DLHs Activity Cost Pool Labor-related Purchase orders Parts management Board etching General factory 239 orders 85 part types Number of part types Number of boards $ 65,450 $ 105,600 1,760 boards 18,000 MHS Machine-hours $ 144,000 Required: 1. Compute the activity rate for each of the activity cost pools. 2. The expected activity for the year was distributed among the company's four products as follows: Expected Activity Activity Cost Pool Product A Product B Product C Product D 4,100 Labor-related (DLHS) 13,000 4,700 6,700 66 Purchase orders (orders) 28 48 97 Parts management (part types) 12 32 14 Board etching (boards) 510 720 530 0 General factory (MHS) 3,700 7,500 2,500 4,300 Using the ABC data, determine the total amount of overhead cost assigned to each product. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute the activity rate for each of the activity cost pools. Activity Cost Pool Activity Rate Labor-related per DLH Purchase orders per order Parts management per part type Board etching per board General factory per MH Required 1 Required 2 Using the ABC data, determine the total amount of overhead cost assigned to each product. Overhead Cost Overhead Cost Overhead Cost Overhead Cost Activity Cost Pool Assigned Assigned Assigned Product C Assigned Product D Product A Product B Labor-related (DLHS) Purchase orders (orders) Parts management (part types) Board etching (boards) General factory (MHs) Total $ $ GA 0 $ 0 0 $ 0