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Question 2: Allocating costs using ABC You have an ABC system with three pools number of cost driver units total pool 1 total cost in
Question 2: Allocating costs using ABC You have an ABC system with three pools number of cost driver units total pool 1 total cost in the pool $80,000 $60,000 $40,000 product A 4,000 DL$ 20 setups 50 hours product B 6,000 DL$ 30 setups 150 hours pool 2 10,000 DL$ 50 setups 200 hours pool 3 Compute the activity rates and the allocated costs for products A and B. allocated costs for activity rate allocated costs for product A product B pool 1 $ per DL$ $ pool 2 per setup 4 aaaa pool 3 $ per hour total allocated costs for each product 4
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