10) Gould Corporation uses the following activity rates from its activity-based

Question

10) Gould Corporation uses the following activity rates from its activity-based costing to assign overhead costs to products: Activity Rate $59.06 per batch Setting up batches Processing customer orders Assembling products Data conceming two products appear below $72.66 per customer order $3.75 per assembly hour ProductProduct K91B F650 Number of batches Number of customer orders Number of assembly hours 84 32 483 50 43 890 How much overhead cost would be assigned to Product K91B using the activity-based costing system? A) $9,097.41 B) S81,146.53 C) $4,961.04 D) $135.47

Explanation / Answer

Calculate overhead cost assigned to product K91B

so answer is a) $9,097.41

Product K91B Setting up cost 4961.04 Processing customer orders 2325.12 Assembling products 1811.25 Total 9097.41

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