Nile Corp. has identified three cost pools to allocate overhead costs. The following estimates are...
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Nile Corp. has identified three cost pools to allocate overhead costs. The following estimates are provided for the coming year: Cost Pool Overhead Costs Cost driver Activity level Supervision of direct labor$380,000 Direct labor-hours 760,000 Machine maintenance $120,000 Machine-hours 960,000 Facility rent $200,000 Square feet of area 125,000 Total overhead costs $640,000 The accounting records show the Mossman Job consumed the following resources: Cost driver Direct labor-hours Machine-hours Square feet of area Actual level 200 1,600 50 9) If Nile Corp. uses the three activity cost pools to allocate overhead costs, what are the activity-cost driver rates for supervision of direct labor, machine maintenance, and facility rent, respectively? A) $0.50 per dlh; $0.125 per mh; $1.50 per sq ft B) $1.25 per dlh; $0.25 per mh; $1.67 per sq ft C) $0.50 per dlh; $0.125 per mh; $1.60 per sq ft D) $0.40 per dlh; $0.125 per mh; $1.68 per sq ft
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