Question
Mouret Corporation uses the following activity rates from its activity-based costing to assign overhead costs to products. Last year, Product N79A required 28 batches, 6
Mouret Corporation uses the following activity rates from its activity-based costing to assign overhead costs to products. Last year, Product N79A required 28 batches, 6 customer orders, and 712 assembly hours. Required: How much total overhead cost would be assigned to Product N79A using the company's activity-based costing system? Variable costs per unit: Direct Materials $92 Fixed costs per year: Direct Labor $720,000 Fixed manufacturing overhead $3,264,000 Fixed selling and administrative $1,935,000 Activity Cost Pools Activity Rate Setting up batches $92.68 per batch Processing customer orders $95.08 per customer order Assembling products $3.41 per assembly hour
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started