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Oriole Industries has the following overhead costs and cost drivers. Direct labor hours are estimated at 100000 for the year. The following information is
Oriole Industries has the following overhead costs and cost drivers. Direct labor hours are estimated at 100000 for the year. The following information is available regarding activity cost pools, cost drivers, total estimated overhead costs, and estimated use of activities per product: Activity Cost Pool Cost Driver Est. Overhead Cost Driver Activity Ordering and Receiving Orders $ 65000 500 orders Machine Setup Setups 342500 450 setups Machining Machine hours 1373500 125000 MH Assembly Parts 1300000 1000000 parts Inspection Inspections 295000 500 inspections If overhead is applied using activity-based costing, the overhead application rate for ordering and receiving is O $6752 per order. O $0.65 per direct labor hour. $0.07 per part. O $130 per order. Save for Later Attempts: 0 of 1 used Submit Answer
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