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Green Toys, a toy manufacturing company, is trying to allocate its indirect costs between two of its products, Mobi Cycle and Toddler Stack. The company

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Green Toys, a toy manufacturing company, is trying to allocate its indirect costs between two of its products, Mobi Cycle and Toddler Stack. The company has provided the following information regarding the activity cost pools and cost drivers 160 Activity Cost pool Advertising costs Designing and development costs Maintenance costs Assembly costs Total Metivity Cost $ 250,000 300,000 50.000 150,000 $ 750.000 Mobi Toddler Cycle Stack 90 300 100 100 100 5,000 10,000 Total 250 Advertisements 400 Designs 200 batches 15,000 units Knowledge Check 01 Using the information provided, calculate the activity rate for designing and development costs. $1,000 per design $1,500 per design $750 per design $250 per design Knowledge Check 02 What amount of maintenance costs should be allocated to the Toddler Stack? $50,000 $20,000 $1,000 per design $1,500 per design O $750 per design O $250 per design Knowledge Check 02 What amount of maintenance costs should be allocated to the Toddler Stack? $50,000 O $20,000 O $40,000 $25,000 Knowledge Check 03 What amount of the total overhead was allocated to the Mobi Cycle? $390,000 $360,000 $315,000 $260,000

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