Klumper Corporation is a diversified manufacturer of industrial goods. The compa
ID: 2375122 • Letter: K
Question
Klumper Corporation is a diversified manufacturer of industrial goods. The company's activity-based costing system contains the following six activity cost pools and activity rates:
Determine the total overhead cost that would be assigned to each of the products listed in the activity-based costing system. (Omit the "$" sign in your response.)
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Klumper Corporation is a diversified manufacturer of industrial goods. The company's activity-based costing system contains the following six activity cost pools and activity rates:
Explanation / Answer
K425 Activity Cost Pool Activity Rate Activity ABC Cost ==============================================================================================================================Supporting direct labor ......... $7 per direct labor-hour 1,125 direct labor-hours $ 7,875 ==============================================================================================================================Machine processing .............. $3 per machine-hour 2600 machine-hours 7800 ==============================================================================================================================Machine setups.................... $45per setup 13 setups 585 ==============================================================================================================================Production orders................. $170 per order 13 order 2210 ==============================================================================================================================Shipments ........................... $115 per shipment 26 shipment 2990 ==============================================================================================================================Product sustaining................ $850 per product 1 product 850 ==============================================================================================================================Total overhead cost.............. $22340 =============================================================================================================================================================================================M67 ============================================================================================================================================================================================================================================================Activity Cost Pool Activity Rate Activity ABC Cost ============================================================================================================================================================================================================================================================Supporting direct labor ......... $7 per direct labor-hour 50 direct labor-hours $ 350 ==============================================================================================================================Machine processing .............. $3 per machine-hour 40 machine-hours 120 ==============================================================================================================================Machine setups.................... $45 per setup 1 setups 45 ==============================================================================================================================Production orders................. $170 per order 1 orders 170 ==============================================================================================================================Shipments ........................... $115 per shipment 1 shipments 115 ==============================================================================================================================Product sustaining................ $880 per product 1 product 850 ==============================================================================================================================Total overhead cost.............. $ 1650 ============================================================================================================================== please rate my answer with five stars
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