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	$	134,500	9,600	4,800	14,400
Production orders	orders		63,430	1,300	200	1,500
Order size	MHs		992,100	3,100	3,900	7,000
		$	1,190,030

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

rev: 03_25_2018_QC_CS-119201

Multiple Choice

• $928,670

• $552,747

• $606,037

• $1,055,530

2.

Tyare Corporation had the following inventory balances at the beginning and end of May:

	May 1			May 30
Raw materials	$	30,000		$	39,000
Finished Goods	$	79,500		$	75,000
Work in Process	$	18,000		$	17,193

During May, $63,000 in raw materials (all direct materials) were drawn from inventory and used in production. The company's predetermined overhead rate was $12 per direct labor-hour, and it paid its direct labor workers $15 per hour. A total of 390 hours of direct labor time had been expended on the jobs in the beginning Work in Process inventory account. The ending Work in Process inventory account contained $7,500 of direct materials cost. The Corporation incurred $43,350 of actual manufacturing overhead cost during the month and applied $42,300 in manufacturing overhead cost.

The amount of direct labor cost in the May 30 Work in Process inventory was:

Multiple Choice

• $4,308

• $5,385

• $4,995

• $9,693