Foster Company has determined a raw materials cost of $0.10 per pound; their loaded labor rate is $15 per hour. The Controller for Foster Company has established the following overhead cost pools and cost drivers:

Overhead Cost Pool	Budgeted Overhead Cost	Cost Driver
Machine setups	$150,000	Number of setups
Material handling	52,500	Pounds of raw material
Quality control inspection	37,500	Number of inspections
Other overhead costs	90,000	Machine hours
Total	$330,000
Overhead Cost Pool	Budgeted Level for Cost Driver	Compute ABC Overhead Rate
Machine setups	100 setups
Material handling	50,000 pounds
Quality control	1,000 inspections
Other overhead	15,000 machine hours
Order no. 610 has been received for 1,000 units of product. It has the following production requirements:
Direct Labor	20 hours
Machine setups	5 setups
Raw material	10,000 pounds
Inspections	12 inspections
Machine hours	600 machine hours

Required:

A. Compute the activity-based costing (ABC) rates for each of the four cost drivers; write answers in the table above. (4 points)

B. Compute the total overhead that should be assigned to order no. 610 by using activity-based costing. (4 points)

C. Suppose that Foster were to use a single, predetermined overhead rate based on machine hours. Compute the rate per hour and the total overhead assigned to order no. 610. (4 points)

D. Compute the total product cost of one unit for order no. 610, using activity-based costing rates. (4 points