Business, 12.11.2019 20:31 zah16

Torello corporation manufactures two products: product h95v and product v93n. the company uses a plantwide overhead rate based on direct labor-hours. it is considering implementing an activity-based costing (abc) system that allocates all of its manufacturing overhead to four cost pools. the following additional information is available for the company as a whole and for products h95v and v93n.

activity cost pool activity measure total cost total activity
machining machine-hours $ 242,000 11,000 mhs
machine setups number of setups $ 140,000 350 setups
product design number of products $ 70,000 2 products
general factory direct labor-hours $ 270,000 10,000 dlhs
activity measure product h95v product v93n
machine-hours 6,000 5,000
number of setups 250 100
number of products 1 1
direct labor-hours 6,000 4,000
using the plantwide overhead rate, how much manufacturing overhead cost would be allocated to product h95v?

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Torello corporation manufactures two products: product h95v and product v93n. the company uses a pl...

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