Desjarlais Corporation uses the following activity rates from its activity-based costing to assign overhead costs to products.
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Activity Cost Pools
|
Activity Rate
|
|
Setting up batches..........................
|
$32.22
|
per batch
|
|
Assembling products.....................
|
$6.13
|
per assembly hour
|
|
Processing customer orders............
|
$72.75
|
per customer order
|
Data concerning two products appear below:
|
|
Product S96U
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Product Q06F
|
|
Number of batches........................
|
78
|
24
|
|
Number of assembly hours............
|
412
|
178
|
|
Number of customer orders...........
|
53
|
18
|
Required:
a. How much overhead cost would be assigned to Product S96U using the company's activity-based costing system?
b. How much overhead cost would be assigned to Product Q06F using the company's activity-based costing system?