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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 Activity Measure Direct labor-hours Number of orders Number of part types Number of boards Machine-hours Expected Overhead Cost $ 311,500 $ 8,840 $ 71,280 $ 63,700 $ 148,000 Expected Activity 44,500 DLHS 221 orders 99 part types 1,820 boards 14,800 MHS Activity Cost Pool Labor-related (DLHS) Purchase orders (orders) Parts management (part types) Board etching (boards) General factory (MHS) Expected Activity Product A Product B Product C Product D 6,800 27,300 4,600 5,800 51 29 49 92 17 770 550 2,100 6,300 2,400 4,000 34 33 15 500 Using the ABC data, determine the total amount of overhead cost assigned to each product. Overhead Cost Assigned Product Product C Product A Product D Activity Cost Pool Labor-related (DLHs) Purchase orders (orders) Parts management (part types) Board etching (boards) General factory (MHs) Total $ 0 $ 0 $ 0 $ 0
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