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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

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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 Cost Pool Supporting direct labor Machine processing Machine setups Production orders Shipments Product sustaining Activity Rates $ 7 per direct labor-hour $ 3 per machine-hour $ 40 per setup $ 170 per order $ 125 per shipment $ 775 per product Activity data have been supplied for the following two products: Number of units produced per year Direct labor-hours Machine-hours Machine setups Production orders Shipments Product sustaining Total Expected Activity K425 M67 200 2,000 1,125 40 3,000 30 15 2 15 2 30 2 2 2 Required: How much total overhead cost would be assigned to K425 and M67 using the activity-based costing system? points Required: How much total overhead cost would be assigned to K425 and M67 using the activity-based costing system? Answer is complete but not entirely correct. Activity Cost Pool K425 M67 Supporting direct $ 7.175 $ 350 X labor Machine processing 10,400 160 % Machine setups 735 Production orders 3,360 160 Shipments 5,040 120 X Product sustaining 875 875 X Total overhead cost 27,585 $ 1,700 35

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