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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
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 Required: Activity Measure Direct labor-hours Number of orders Number of part types Number of boards Machine-hours Expected Overhead Cost $ 254,800 Expected Activity 36,400 DUHS $ 8,785 251 orders $ 72,680 $ 54,900 $170,000 92 part types 1,830 boards 17,000 MHs 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: Activity Cost Pool Labor-related (DLHS) Purchase orders (orders) Parts management (part types) Board etching (boards) General factory (MHS) Expected Activity Product A 4,000 Product B Product C Product D 78 22,200 28 4,900 5,300 50 95 37 12 31 12 530 3,200 700 600 0 6,000 2,100 5,700 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 1 Required 2 < Prev 2 of 10 Next > FER
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