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Flynn Industries has three activity cost pools and two products. It estimates production 2,000 units of Product BC113 and 1,000 of Product AD908. Having identified
Flynn Industries has three activity cost pools and two products. It estimates production 2,000 units of Product BC113 and 1,000 of Product AD908. Having identified its activity cost pools and the cost drivers for each pool, Flynn accumulated the following data relative to those activity cost pools and cost drivers. Annual Overhead Data Activity Cost Pools Machine setup Machining Packing Cost Drivers Setups Machine hours Orders Estimated Overhead $27,000 109,560 26,950 Estimated Use of Cost Drivers per Product Estimated Use of Cost Product Drivers per Activity BC113 45 28 4,980 1,180 490 140 Product AD908 17 3,800 350 Using the above data, do the following: Prepare a schedule showing the computations of the activity-based overhead rates per cost driver. Estimated Overhead Estimated Use of Cost Drivers per Activity Activity-Based Overhead Rates Activity Cost Pools Machine setup per $ setups $ setup Machining machine hours $ per machine hr. Packing orders $ per order $ Prepare a schedule assigning each activity's overhead cost to the two products. Activity Cost Pools Estimated Use of Cost Drivers per Product BC113 Activity-Based Overhead Rates Cost Assigned Estimated Use of Cost Drivers per Product AD908 Activity-Based Overhead Rates Cost Assigned Machine setup $ $ S $ Machining $ S Packing $ $ Total assigned costs $ $ 1 Compute the overhead cost per unit for each product. (Round answers to 2 decimal places, e.g. 12.25.) BC113 AD908 Overhead cost per unit $ $
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