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Alongi Corporation uses the following activity rates from its activity-based cos

ID: 2375581 • Letter: A

Question

Alongi Corporation uses the following activity rates from its activity-based costing to assign overhead costs to products.

   

  

How much overhead cost would be assigned to Product P91M using the company's activity-based costing system? (Do not round your intermediate calculation. Round your final answer to two decimal places.)

  

            Activities Activity Rate   Setting up batches $ 74.76 per batch   Processing customer orders $ 55.40 per customer order   Assembling products $ 1.36 per assembly hour

Explanation / Answer

Overhead cost = 74.76*33+55.40*1+1.36*368 = $3022.96

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