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: Activity Cost Pool Labor-related Purchase orders Parts management Board etching General factory Activity Measure Direct labor-hours Number of orders Number of part types Number of boards Machine-hours Expected Overhead Cost $ 135,600 $ 8,400 $ 68,870 $ 53,700 $ 171,000 Expected Activity 22,600 DLHS 240 orders 97 part types 1,790 boards 19,000 MHS 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) Product A 3,000 73 23 480 3,600 Expected Activity Product B Product C Product D 11,900 3,700 4,000 34 33 100 15 49 10 770 540 0 6,000 3,500 5,900 Using the ABC data, determine the total amount of overhead cost assigned to each product. Activity Rate Activity Cost Pool Labor-related per DLH Purchase orders per order per part type Parts management Board etching General factory per board per MH Overhead Cost Assigned Product B Product C Product A Product D Activity Cost Pool Labor-related (DLHs) Purchase orders (orders) Parts management (part types) Board etching (boards) General factory (MHs) Total