Reference no: EM132612251
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:
Activity Cost Pool Activity Rates
Supporting direct labor $6per direct labor-hour
Machine processing $4per machine-hour
Machine setups $50 per setup
Production orders $90 per order
Shipments $14 per shipment
Product sustaining $840 per product
Activity data have been supplied for the following two products:
Total Expected Activity
K425 M67
Number of units produced per year 200 2,000
Direct labor-hours 80 500
Machine-hours 100 1,500
Machine setups 14
Production orders 14
Shipments 110
Product sustaining 11
Required:
Question 1: How much total overhead cost would be assigned to K425 and M67 using the activity-based costing system?
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How much total overhead cost would be assigned
: How much total overhead cost would be assigned to K425 and M67 using the activity-based costing system? Number of units produced per year
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