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Problem D: CBW Corporation manufactures travel clocks and watches. Overhead costs are currently allocated using direct tabor hours, but the controller has recommended using an

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Problem D: CBW Corporation manufactures travel clocks and watches. Overhead costs are currently allocated using direct tabor hours, but the controller has recommended using an activity based costing system based on the following data: Cost Driver Watches Activity Cost Travel assigned Clocks Production setup Setups Se s $100.000 20 30 e setups setups Material handling and Parts requisition $30.000 24 parts 36 parts Packaging and shipping Units shipped 80.000 units 120.000 units . Total overhead $190,000 1 Compute the amount of total overhead allocated to each of the products under activity-based costing. Activity OH Cost Total Assigned Activity Activity Rate Predetermined OH Rate) Production Setup 50 Setups $2.000 Per Setup Handling 60 Parts $500 Per Part Packaging and Shipping S 200.000 Units Shipped 50.30 Per Unit Shipped

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