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Please help me : Klumper Corporation is a diversified manufacturer of industrial goods. The companys activity-based costing system contains the following six activity cost pools
Please help me :
Klumper Corporation is a diversified manufacturer of industrial goods. The companys activity-based costing system contains the following six activity cost pools and activity rates:
Activity Cost Pool | Activity Rates | ||
Supporting direct labor | $ | 6 | per direct labor-hour |
Machine processing | $ | 3 | per machine-hour |
Machine setups | $ | 40 | per setup |
Production orders | $ | 170 | per order |
Shipments | $ | 120 | per shipment |
Product sustaining | $ | 825 | per product |
Activity data have been supplied for the following two products:
Total Expected Activity | ||
K425 | M67 | |
Number of units produced per year | 200 | 2,000 |
Direct labor-hours | 1,025 | 40 |
Machine-hours | 2,600 | 30 |
Machine setups | 17 | 1 |
Production orders | 17 | 1 |
Shipments | 34 | 1 |
Product sustaining | 1 | 1 |
Required:
How much total overhead cost would be assigned to K425 and M67 using the activity-based costing system?
2 Klumper Corporation is a diversified manufacturer of industrial goods. The company's activity-based costing system contains the following six activity cost pools and activity rates: Activity Cost Pool Supporting direct labor Machine processing Machine setups Production orders Shipments Product sustaining Activity Rates $ 6 per direct labor-hour $ 3 per machine-hour $ 40 per setup $ 170 per orde points 120 per shipment $825 per product eBook Activity data have been supplied for the following two products: Hint Total Expected Activit K425 M67 Print Number of units produced per year Direct labor-hours Machine-hours Machine setups Production orders Shipments Product sustaining 200 1,025 2,600 17 17 34 2,000 40 30 References Required: How much total overhead cost would be assigned to K425 and M67 using the activity-based costing system? Cost Pool K425 M67 Supporting direct labor Machine setups Production orders Product sustaining Total overhead cost
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