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Weirick, Inc., manufactures and sells two products: Product T8 and Product P4. The company has an activity-based costing system with the following activity cost pools,

Weirick, Inc., manufactures and sells two products: Product T8 and Product P4. The company has an activity-based costing system with the following activity cost pools, activity measures, and expected activity:

Estimated Expected Activity
Activity Cost Pools Activity Measures Overhead Cost Product T8 Product P4 Total
Labor-related DLHs $ 145,000 4,000 2,000 6,000
Production orders orders 68,360 1,100 300 1,400
Order size MHs 1,069,190 2,700 3,100 5,800
$ 1,282,550

The total overhead applied to Product P4 under activity-based costing is closest to: (Round your intermediate calculations to 2 decimal places.)

Multiple Choice

  • $1,000,830

  • $571,454

  • $634,443

  • $1,137,550

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