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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:
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 $11 per direct labor-hour $3 per machine-hour $40 per setup $ 170 per order $130 per shipment $ 900 per product Activity data have been supplied for the following two products: Total Expected Activity Number of units produced per year Direct labor-hours Machine-hours Machine setups Production orders Shipments . Product sustaining ences K425 M67 200 2,000 925 40 2,600 30 9 1 9 1 18 1 1 1 Required: How much total overhead cost would be assigned to K425 and M67 using the activity-based costing system? Activity Cost Pool Supporting direct labor K425 M67 Machine processing Machine setups Production orders Shipments Product sustaining Total overhead cost
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