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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
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 labar Machine processing Machine setups Production orders Shipments Product sustaining Activity Rates $9 per direct labor-hour $3 per machine-hour $40 per setup 160 per order $130 per shipment $ 825 per product Activity data have been supplied for the following two products Total Expected Activit K425 Nurrber of units produced per year Direct labor-hours Machine-hours Machine setups Production orders Shipments Product sustaining 200 1,100 2,800 15 15 2,00 40 30 Requirec How much total overhead cost would be assignedto K425 and M67 using the activity-based costing system
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