Foster Company manufactures two products (XX and YY). The overhead costs have been divided into four cost pools that use the following Drivers:Product Number of orders Number of setups Number of labor transactions Labor hoursXX 60 20 50 2000YY 20 80 70 500Cost per pool $16000 $13,000 $2,400 $20,000Required:a. Compute the allocation rates for each of the activity drivers listed.b. What are the total costs assigned to products XX and YY using activity-based costing?c. Compute the overhead rate using labor hours under the functional-based costing system.d. What are the total costs assigned to products XX and YY using the functional based costing system overhead rate calculated in part (c).
RECOMMENDED!!Foster Company manufactures two products
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