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Weber Industries has three activity cost pools and two products. It expects to produce 3,000 units of Product BC113 and 1,400 of Product AD908.
Weber Industries has three activity cost pools and two products. It expects to produce 3,000 units of Product BC113 and 1,400 of Product AD908. Having identified its activity cost pools and the cost drivers for each pool, Weber accumulated the following data relative to those activity cost pools and cost drivers.
Annual Overhead DataExpected Use of Cost
Drivers per ProductActivity Cost PoolCost Drivers
Estimated
OverheadExpected Use of
Cost Drivers per ActivityProduct
BC113Product
AD908Machine set-upSet-ups$18,710422616MachiningMachine hours109,7504,8309663,864PackingOrders29,800480144336
schedule showing the calculations of the activity-based overhead rates per cost driver. (Round rates per cost driver to 2 decimal places, e.g. 15.25.)
Cost PoolEstimated
MOHEstimated
UsageRateMachine set-up
$
$
per set-upMachining$
$
per machine hr.Packing
$
$
per order
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schedule assigning each activity's overhead cost to the two products. (Round answers to 0 decimal places, e.g. 1,525.)
Assignment of overhead:BC113AD908$
$
$
$
$
$
$
$
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Calculate the overhead cost per unit for each product. (Round answers to 2 decimal places, e.g. 15.25.)
BC113AD908Overhead cost per unit$
$
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