Adria company recently implemented an activity-based

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Reference no: EM13588269

Adria Company recently implemented an activity-based costing system. At the beginning of the year, management made the following estimates of cost and activity in the company's five activity cost pools:

  Activity Cost Pool

Activity?Measure

Expected?Overhead Cost

Expected?Activity

  Labor-related

  Direct labor-hours

$

35,000

7,000

DLHs

  Purchase orders

  Number of orders

$

4,000

2,000

orders

  Material receipts

  Number of receipts

$

10,450

950

receipts

  Relay assembly

  Number of relays

$

7,000

1,000

relays

  General factory

  Machine-hours

$

240,000

40,000

MHs

?

The expected activity for the year was distributed among the company's four products as follows:


Expected Activity


?

  Activity Cost Pool

Product A

Product B

Product C

Product D

  Labor-related (DLHs)

2,400    

500

3,500

600

  Purchase orders (orders)

100    

350

800

750

  Materials receipts (receipts)

400    

208

342

0

  Relay assembly (relays)

170    

170

300

360

  General factory (MHs)

12,000    

7,000

8,000

13,000

?

Using the ABC data, determine the total amount of overhead cost assigned to each product.

 


Product A

$

Product B

$

Product C

$

Product D

$

?

Reference no: EM13588269

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