The following overhead cost information is available for Compton Corporation for 2011:

Activity	Allocation Base	Overhead Cost
Purchasing	Number of purchase orders	$100,000
Receiving	Number of shipments received	60,000
Machine setups	Number of setups	150,000
Quality control	Number of inspections	50,000

Refer to the Compton Corporation information above. If Job #229 required 5 purchase orders, 10 shipments, 8 machine setups, and 4 inspections to fill, how much overhead should be assigned to Job #229?

Select one:

a. $303.75

b. $580.00

c. $ 4.06

d. $ 85.50

The following overhead cost information is available for Henderson Inc. for 2008:

Activity	Allocation Base	Overhead Cost
Purchasing	Number of purchase orders	$80,000
Receiving	Number of shipments received	60,000
Machine setups	Number of setups	45,000
Quality control	Number of inspections	30,000

During the year, 4,000 purchase orders were issued; 2,400 shipments were received; 4,500 machine setups were performed; and 2,500 inspections were conducted. If Job #101 required 2 purchase orders, 6 shipments, 3 machine setups, and 5 inspections to complete, how much overhead should be assigned to Job #101?

Select one:

a. $150.00

b. $60.00

c. $280.00

d. $40.00

Compton Corporation The following overhead cost information is available for Compton Corporation for 2011:

Activity	Allocation Base	Overhead Cost
Purchasing	Number of purchase orders	$100,000
Receiving	Number of shipments received	60,000
Machine setups	Number of setups	150,000
Quality control	Number of inspections	50,000

During the year, 5,000 purchase orders were issued; 20,000 shipments were received; 3,000 machine setups were performed; and 4,000 inspections were conducted. Refer to the Compton Corporation information above. What is the overhead rate for the purchasing activity?

Select one:

a. $3.13 per purchase order

b. $72.00 per purchase order

c. $20.00 per purchase order

d. $0.05 per purchase order

Which of the following would be the least likely cost driver for an activity such as product testing?

Select one:

a. Number of change orders

b. Hours of testing time

c. Number of tests

d. Number of shipments received

Johnson Manufacturing Johnson Manufacturing anticipates incurring $850,000 in overhead costs this year. After implementing activity-based costing (ABC), the company's controller identified the following related information:

Activity	Allocation Base	Proportion of Overhead Cost
Purchasing	Number of purchase orders	20%
Machine setups	Number of setups	15%
Production	Number of machine hours	65%

The number of activities expected is as follows:

Total number of purchase orders	4,800
Total number of setups	2,400
Total number of machine hours	22,100

Refer to the Johnson Manufacturing information above. How much total overhead will be allocated to the production activity?

Select one:

a. $170,000

b. $552,500

c. $127,500

d. $30,000