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	Activity Measure	Expected Overhead Cost			Expected Activity
Labor-related	Direct labor-hours	$	241,500		34,500		DLHs
Purchase orders	Number of orders	$	6,060		202		orders
Parts management	Number of part types	$	90,300		105		part types
Board etching	Number of boards	$	69,600		1,740		boards
General factory	Machine-hours	$	193,000		19,300		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 companys four products as follows:

	Expected Activity
Activity Cost Pool	Product A			Product B			Product C			Product D
Labor-related (DLHs)		5,700			19,700			4,900			4,200
Purchase orders (orders)		53			24			33			92
Parts management (part types)		38			13			37			17
Board etching (boards)		350			740			650			0
General factory (MHs)		3,600			8,400			2,000			5,300

Using the ABC data, determine the total amount of overhead cost assigned to each product.

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	Activity Measure	Expected Overhead Cost			Expected Activity
Labor-related	Direct labor-hours	$	241,500		34,500		DLHs
Purchase orders	Number of orders	$	6,060		202		orders
Parts management	Number of part types	$	90,300		105		part types
Board etching	Number of boards	$	69,600		1,740		boards
General factory	Machine-hours	$	193,000		19,300		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 companys four products as follows:

	Expected Activity
Activity Cost Pool	Product A			Product B			Product C			Product D
Labor-related (DLHs)		5,700			19,700			4,900			4,200
Purchase orders (orders)		53			24			33			92
Parts management (part types)		38			13			37			17
Board etching (boards)		350			740			650			0
General factory (MHs)		3,600			8,400			2,000			5,300

Using the ABC data, determine the total amount of overhead cost assigned to each product.

1.Compute the activity rate for each of the activity cost pools.

2. Using the ABC data, determine the total amount of overhead cost assigned to each product.