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Thank you in advance! Sultan Company uses an activity-based costing system. At the beginning of the year, the company made the following estimates of cost
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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 five activity cost pools Activity Cost Pool Labor-related Purchase orders Parts management Board etching General factor Expectecd Overhead Cost $. 148,000 $ 15,180 $ 85,680 $ 99,550 $162,400 Activity Measure Expected Activity Direct labor-hours Number of orders Number of part types Number of boards Machine-hours 29,600 DLHs 253 orders 102 part types 1,810 boards 20,300 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 company's four products as follows: Expected Activit ProductA Product B Product C Product D Activity Cost Pool Labor-related (DLHs) Purchase orders (orders) Parts management (part types) Board etching (boards) General factory (MHs) 7,900 75 30 420 3,200 12,800 39 13 780 8,200 3,900 45 5,000 94 18 610 3,600 5,300 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 Using the ABC data, determine the total amount of overhead cost assigned to each product. Overhead Cost Assigned Product B Activity Cost Pool Product A Product C Product D Labor-related (DLHs) Purchase orders (orders) Parts management (part types) Board etching (boards) General factory (MHs) Total KRequired 1 Required 2Step by Step Solution
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