Exercise 7-4 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 Supporting direct labor Machine processing Machine setups Production orders Shipments Product sustaining Activity Rates $7.00 per direct labor-hour $4.00 per machine-hour $40.00 per setup $150.00 per order $120.00 per shipment $825.00 per product Activity data have been supplied for the following two products: Total Expected Activity K425 M67 2,000 1,200 3,000 200 50 40 Number of units produced per year Direct labor-hours Machine-hours Machine setups Production orders Shipments Product sustaining 18 Required: Determine the total overhead cost that would be assigned to each of the products listed above in the activity-based costing system. K425 M 67 Activity Cost Pool Supporting direct labor Machine processing Machine setups Production orders Shipments Product sustaining Total overhead cost