Exercise 4-5 Assigning Overhead to Products in ABC (LO4-2, L04-3] 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: Expected Overhead Activity Cost Pool Activity Mensure Cost Expected Activity Labor related Direct labor-hours $ 311,500 44,500 DLHS Purchase orders Number of orders $ 8,840 221 orders Parts management Number of part types $ 71,280 99 part types Board etching Number of boards $ 63,700 1,820 boards General factory Machine-hours $ 148,000 14,800 MS 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 Paol Product Products Product Product Labor reinted (OHS) 6,800 27,300 4.000 5,800 Purchase orders (orders) 51 20 49 92 Parts management (part types) 34 27 33 15 Board etching boards) 500 770 550 General factory (MHS) 2,100 0,300 2,400 4.000 0 Using the ABC dato, 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. AD 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: Activity Cost Pool Labor-related (DLHS) Purchase orders (orders) Parts management (part types) Board etching (boards) General factory (MHS) Expected Activity Product A Product B Product C Product D 6,800 27,300 4,600 5,800 51 29 49 92 34 17 33 15 500 770 550 2,100 6,300 2,400 4,000 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 Labor-related Purchase orders Parts management Board etching General factory Activity Rate per DLH per order per part type per board per MH Required Required 2 > Saved Eignment 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 Labor-related (DLHS) 6,800 27,300 4,600 5,800 Purchase orders (orders) 51 Parts management (part types) 17 Board etching (boards) 770 550 General factory (MHS) 2,100 6,300 2,400 29 49 33 92 15 34 500 4,000 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 Using the ABC data, determine the total amount of overhead cost assigned to each product. Overhead Cost Assigned Activity Cost Pool Product A Product B Product C Product D Labor-related (DLHS) Purchase orders (orders) Parts management (part types) Board etching (boards) General factory (MH) Total
