Question

foi gou might imagin he ABcd Tank Maufactring Cony uses an activiny-based costing system. ABC has given you the Overhead Costs Wages and salaries Other overhead costs $360,000 195,000 Total overhead costs $555,000 Activity Cost Pool Direct labor support Number of direct labor-hours Order processingNumber of orders Customer support Number of customers Other 11,500 DLHS 580 orders 95 customers This is an organization-sustaining activity Not applicable Distribution of Resource Consumption Across Activities Direct Labor Order Customer Support Processing Support Other Total Wages and salaries Other overhead costs 20% 25% 25% 15% 15% 20% 40% 40% 100% 100% Early in this year, ABC Tank completed an order for a special vertical envelopment tank for a new customer, Sky Tanks. This was the only order from this customer for the whole year. Below is some data conceming that order Selling price Units ordered Direct materials Direct labor-hours Direct labor rate $ 310 per unit $ 269 per unit $ 100 units 0.6 DLH per unit 23 per DLH 1. Prepare a report showing the first-stage allocations of overhead costs to the activity cost pools Direct Labor Order Customer Other Wages and salaries Other overhead costs Total cost 2. Compute the activity rates for the activity cost pools. (Round your answers to 2 decimal places.)

Answer 1