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X Company uses an activity-based costing overhead allocation system. It has identified three activities - Setup, Purchasing, Packaging - and their respective cost drivers - setup hours, purchase orders, packages. Budgeted activity costs are as follows:
Activity Budgeted
Cost Setup $108,000
Purchasing 56,000
Packaging 53,800
The following cost driver information is available for its products:
Product A All Products
setup hours 27,600 887,000
purchase orders 46,400 875,100
packages 72,500 974,900
How much overhead was allocated to Product A (overhead rates to two decimal places)?
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