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Sultan Company uses an activity-based costing system At the beginning of the year, the company made the following estimates of cost and activity for its
Sultan Company uses an activity-based costing system At the beginning of the year, the company made the following estimates of cost and activity for its five activity cost pools Activity Cost Pool Labor-related Purchase orders Parts management Board etching General factory Expected Overhead Cost $ 184,800 $6,900 $81,120 $ 45,000 150,300 Activity Measure Expected Activity 30,800 DLHs Direct labor-hours Number of orders Number of part types Number of boards Machine-hours 230 orders 104 part types 1,800 boards 16,700 MHs Required: 1. Compute the activity rate for each of the activity cost pools 2. The expected activity for the year was distributed among the company's four products as follows Expected Activit Activity Cost Pool Labor-related (DLHs) Purchase orders (orders) Parts management (part types Board etching (boards) General factory (MHs) Product A Product B Product C Product D 7,000 58 30 500 3,600 14,300 26 18 720 6,400 4,400 46 37 580 2,100 5,100 100 19 4,600 Using the ABC data, determine the total amount of overhead cost assigned to each product. Complete this question by entering your answers in the tabs below. Pre 4 of 4 Next 19 Parts management (part types) Board etching (boards) General factory (MHs) 30 500 3,600 18 720 6,400 37 580 2,100 4,600 Using the ABC data, determine the total amount of overhead cost assigned to each product. Complete this question by entering your answers in the tabs below. Required1Required 2 Compute the activity rate for each of the activity cost pools. Activity Cost Poo Activity Rate Labor-related Purchase orders Parts management Board etching General factory per DLH per order per part type per board per MH Required1 Required 2> General factory (MHs) 6,400 2,1004,6010 3,600 Using the ABC data, determine the total amount of overhead cost assigned to each product. Complete this question by entering your answers in the tabs below. Required 1Required 2 Using the ABC data, determine the total amount of overhead cost assigned to each product. Overhead Cost Assigned Activity Cost Pool Product A Product B Product C Product D Labor-related (DLHs) Purchase orders (orders) Parts management (part types) Board etching (boards) General factory (MHs) Total Required! Required 2
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