Question: Kapoor Corporation uses the following activity rates from its activity-based costing to assign overhead costs to products.
Activity cost pools
|
Activity Rate
|
Setting up batches
|
83.75 per batch
|
Assembling products
|
2.88 per assembly hour
|
Processing customer orders
|
50.41 per customer order
|
|
|
Data concerning two products appear below:
|
Product J00A
|
Product S06U
|
Number of batches
|
34
|
41
|
Number of assembly hours
|
105
|
824
|
Number of customer orders
|
17
|
38
|
Required: a. How much overhead cost would be assigned to Product J00A using the company's activity-based costing system? Show your work.
b. How much overhead cost would be assigned to Product S06U using the company's activity-based costing system? Show your work.