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Exercise 7-4 (Algo) Second-Stage Allocation (L07-4) Klumper Corporation is a diversified manufacturer of industrial goods. The company's activity-based costing system contains the following six activity

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Exercise 7-4 (Algo) Second-Stage Allocation (L07-4) Klumper Corporation is a diversified manufacturer of industrial goods. The company's activity-based costing system contains the following six activity cost pools and activity rates: Activity cost Pool Activity Rates Supporting direct labor $ 9 per direct labor-hour Machine processing $5 per machine-hour Machine setups $50 per setup Production orders $170 per order Shipments $ 130 per shipment Product sustaining $ 750 per product Activity data have been supplied for the following two products: Number of units produced per year Direct labor-hours Machine-hours Machine setupe Production orders Shipments Product sustaining Total Expected Activity K425 M67 200 2,000 1.050 40 2,800 30 2 2 18 2 Required: How much total overhead cost would be assigned to K425 and M67 using the activity-based costing system? K425 M67 Activity Cost Pool Supporting direct labor Machine processing Machine setups Production orders Shipments Product sustaining Total overhead cost 0 0

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