124k views
5 votes
Senff Corporation uses the following activity rates from its activity-based costing to assign overhead costs to products: Activity Cost Pools Activity Rate Setting up batches $ 89.00 per batch Processing customer orders $ 79.41 per customer order Assembling products $ 14.11 per assembly hour Data concerning two products appear below: Product V91Z Product V21I Number of batches 70 13 Number of customer orders 21 10 Number of assembly hours 493 698 How much overhead cost would be assigned to Product V91Z using the activity-based costing system? (Round your intermediate calculations to 2 decimal places.)

1 Answer

7 votes

Answer:

$14,853.84

Step-by-step explanation:

Calculation to determine How much overhead cost would be assigned to Product V91Z using the activity-based costing system

Overhead cost assigned to Product V91Z

Assembly product $6,956.23

($14.11*493)

Processing customer order $1,667.61

($79.41*21)

Setting up batches $6,230

($89*70)

Total $14,853.84

Therefore How much overhead cost would be assigned to Product V91Z using the activity-based costing system will be $14,853.84

User Manish Keer
by
5.2k points