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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 Estimated Use of Cost Drivers per Product Estimated Use of Cost Product Drivers per Activity BC113 44 21 Product AD908 Cost Drivers Activity Cost Pools Machine setup Machining Packing Estimated Overhead $22,000 88,020 33,660 Setups Machine hours Orders 4.890 1.200 23 3,690 320 510 190 Using the above data, do the following: (a) 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 $ setups $ per seti Machining machine hours $ per mac hr. Packing orders $ per orde $
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