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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 | $ | 137,100 | 3,200 | 1,600 | 4,800 |
Production orders | orders | 64,650 | 900 | 500 | 1,400 | |
Order size | MHs | 1,011,170 | 2,500 | 3,100 | 5,600 | |
$ | 1,212,920 | |||||
The total overhead applied to Product P4 under activity-based costing is closest to: (Round your intermediate calculations to 2 decimal places.)
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