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my The following is taken from Ronda Co s internal records of its factory with two production departments. The cost driver for indirect labor and
my The following is taken from Ronda Co s internal records of its factory with two production departments. The cost driver for indirect labor and supplies is direct labor costs, and the cost driver for the remaining overhead items is number of hours of machine use. Direct Labor Machine Use Hours Department 1 14,800 2,000 Department 2 17,200 1,200 Totale $32,000 3,200 Factory overhead costs Rent and utilities 50,200 Indirect labor 4,400 General office expenso 6,000 Depreciation Equipment 5,000 Supplies 3,600 Sotal factory ovechead $27,200 Compute the total amount of overhead cost allocated to Department 1 using activity based costing. (Round activity rate answers to 2 decimal places.) Estimated Cost Estimated Cost driver Activity Rate Cost driver quantity incurred OH Allocated Costs to be allocated Indirect labor and supplies Rent utilities, general office and depreciation
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