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Determine the total overhead cost

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Question - Larner 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:

Activity Cost Pool Activity Rates

Supporting direct labor $7.00 per direct labor-hour

Machine processing $3.00 per machine-hour

Machine setups $40.00 per setup

Production orders $160.00 per order

Shipments $120.00 per shipment

Product sustaining $800.00 per product

Activity data have been supplied for the following products:

Total Expected Activity

J78 W52

Direct labor-hours 1,000 40

Machine-hours 3,200 30

Machine setups 5 1

Production orders 5 1

Shipments 10 1

Product sustaining 1 1

Required: Determine the total overhead cost that would be assigned to each of the products listed above in the activity-based costing system.

Reference no: EM131818882

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