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Olmo, Inc., manufactures and sells two products: Product KO and Product H9. The annual production and sales of Product of KO is 1,000 units and
Olmo, Inc., manufactures and sells two products: Product KO and Product H9. The annual production and sales of Product of KO is 1,000 units and of Product H9 is 1,000 units. The company has an activity-based costing system with the following activity cost pools, activity measures, and expected activity: Activity Cost Pools Labor-related Production orders Order size Activity Estimated Expected Activity Measures Overhead Cost Product KO Product H9 DLHS $ 549,408 10,000 5,000 orders 52,419 1,100 200 MHS 835, 016 2,800 3,200 $1,436,843 Total 15,000 1,300 6,000 The overhead applied to each unit of Product KO under activity-based costing is closest to: (Round your intermediate calculations to 2 decimal places.) Multiple Choice $366.30 per unit $800.33 per unit O $389.68 per unit $287.38 per unit
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