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No need to show working. The controller for BEC Events Inc. uses activity-based-costing and has established the following overhead cost pools and cost drivers. Overhead

No need to show working.

The controller for BEC Events Inc. uses activity-based-costing and has established the following overhead cost pools and cost drivers.

Overhead Cost Pool

Budgeted Overhead Cost

Cost Driver

Budgeted Level for Cost Driver

Travel

$ 360,000

Number of trips

480

trips

Tent set-up

$ 450,000

Number of orders

1,000

orders

Equipment set-up

$ 1,350,000

# or types of equipment

4,000

set-ups

Inspections

$ 18,000

# of inspections

1,200

inspections

Other costs

$ 240,000

Labor Hours

8,000

hours

Total overhead

$ 2,418,000

BEC Events received an order requires 4 trips, 6 tent set-ups, 20 equipment set-ups, 2 inspections, and 48 labor hours.

  1. What is the cost driver rate for tent set-ups?

  1. What is the cost driver rate for inspections?

  1. What is the total overhead assigned to this order?

  1. If the controller were to use a single, predetermined overhead rate based on labor hours, what is the rate ($)?

  1. If the controller were to use a single, predetermined overhead rate based on labor hours, what would be the total overhead assigned to this order?

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