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Tomson Ltd has identified the following overhead costs and cost drivers for next year Overhead Items [Budgeted] Power Maintenance cost Ordering cost E cost) $

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Tomson Ltd has identified the following overhead costs and cost drivers for next year Overhead Items [Budgeted] Power Maintenance cost Ordering cost E cost) $ 27,000 17,800 8,150 Cost Driver [Budgeted] E activity) Number of orders Machine Hours Kilowatt hours 4,000 5,000 52000 The following is one of the jobs completed during the year Direct materials Direct Labour Units completed # of orders Machine hours Kilowatt hours Actual overhead Product A $2200 $ 2500 210 40 350 200 $1800 Product B $3300 $ 3030 400 21 256 400 $1550 The company's policy uses machine hours as the activity for FBC method Tomson Ltd has identified the following overhead costs and cost drivers for next year Overhead Items [Budgeted] Power Maintenance cost Ordering cost E cost) $ 27,000 17,800 8,150 Cost Driver [Budgeted] E activity) Number of orders Machine Hours Kilowatt hours 4,000 5,000 52000 The following is one of the jobs completed during the year Direct materials Direct Labour Units completed # of orders Machine hours Kilowatt hours Actual overhead Product A $2200 $ 2500 210 40 350 200 $1800 Product B $3300 $ 3030 400 21 256 400 $1550 The company's policy uses machine hours as the activity for FBC method

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