Oriole Industries has three activity cost pools and two products. It estimates production of 3,000...
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Accounting
Oriole Industries has three activity cost pools and two products. It estimates production of 3,000 units of Product BC113 and 1,400 of Product AD908. Having identified its activity cost pools and the cost drivers for each pool, Oriole accumulated the following data relative to those activity cost pools and cost drivers.
Annual Overhead Data
Use of Cost Driversper Product
Activity Cost Pool
Cost Drivers
EstimatedOverhead
Estimated Use ofCost Drivers per Activity
Product BC113
Product AD908
Machine set-up
Set-ups
$
20,500
41
26
15
Machining
Machine hours
111,550
4,850
970
3,880
Packing
Orders
30,240
480
144
336
Prepare a schedule showing the calculations of the activity-based overhead rates per cost driver.
Cost Pool
Estimated MOH
Estimated Usage
Rate
Machine set-up
$enter a dollar amount
enter a number of set-ups
$enter a dollar amount per set-up
per set-up
Machining
$enter a dollar amount
enter a number of machine hours
$enter a dollar amount per machine hour
per machine hr.
Packing
$enter a dollar amount
enter a number of orders
$enter a dollar amount per order
per order
Prepare a schedule assigning each activitys overhead cost to the two products.
Assignment of overhead:
BC113
AD908
Machine set-up
$enter a dollar amount
$enter a dollar amount
Machining
$enter a dollar amount
$enter a dollar amount
Packing
$enter a dollar amount
$enter a dollar amount
Overhead assigned
$enter a total amount
$enter a total amount
(c)
Calculate the overhead cost per unit for each product. (Round answers to 2 decimal places, e.g. 15.25.)
BC113
AD908
Overhead cost per unit
$enter a dollar amount rounded to 2 decimal places
$enter a dollar amount rounded to 2 decimal places
Answer & Explanation
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