Business, 12.11.2019 00:31 snowprincess99447

Second-stage allocation [lo7-4]

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 $ 10 per direct labor-hour machine processing $ 3 per machine-hour machine setups $ 45 per setup production orders $ 150 per order shipments $ 115 per shipment product sustaining $ 750 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 1,075 50 machine-hours 2,400 40 machine setups 13 1 production orders 13 1 shipments 26 1 product sustaining 1

required: how much total overhead cost would be assigned to k425 and m67 using the activity-based costing system?

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Second-stage allocation [lo7-4]

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