Durban Metal Products makes specialty metal parts and uses activitybased costing for internal decisionmaking purpr company has four activity cost pools as follows:
tableActivity Cost Pool Activity Measure,Activity Rate,Order size,Number of direct laborhours,$ per direct laborhourCustomer orders,Number of customer orders,$ per customer orderProduct testing,Number of testing hours,$ per testing hourSellingNumber of sales calls,$ per sales call
The company's owner wants to know the cost of a customer order requiring direct laborhours, hours of prode sales calls.
Required:
What is the total overhead cost assigned to this order?
tableActivity Cost Pool,ABC CostOrder size,Customer orders,Product testing,SellingTotal overhead cost,
