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QS 1 7 - 1 2 ( Static ) Allocating overhead cost using activity - based costing LO P 3 Rand Company computed the following

QS 17-12(Static) Allocating overhead cost using activity-based costing LO P3
Rand Company computed the following activity rates using activity-based costing.
\table[[Activity,Activity Rate],[Setup,$1,000 per setup],[Materials handling,$50 per materials requisition],[Inspection,$2 per unit inspected]]
The company's deluxe model used the following activities to produce 1,000 units.
Activity
Setup
Materials handling
Inspection
Actual Activity Usage
3 setups
25 materials requisitions
1,000 units inspected
Compute the overhead cost per unit for the deluxe model using activity-based costing.
\table[[Activity,,,,Allocated Cost],[Setup,,,,],[Materials handling,,,,],[Inspection,,,,],[Total allocated cost,,,,],[Units produced,,,,],[Overhead cost per unit,,,,]]
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