Randel Manufacturing has five activity cost pools and two products (a budget tape vacuum and a deluxe tape vacuum). Information is presented below: Cost Drivers by ProductActivity Cost Pool Cost Driver Est. Overhead Budget DeluxeOrdering and Receiving Orders $ 130,000 600 400Machine Setup Setups 297,000 500 400Machining Machine hours 1,000,000 150,000 100,000Assembly Parts 1,600,000 1,200,000 800,000Inspection Inspections 300,000 550 450InstructionsCompute the overhead cost per unit for each product. Production is 700,000 units of Budget and 200,000 units of Deluxe. Round your answer to the nearest cent.Activity Cost Pool Est. Overhead ÷ Total Est. Activity = Overhead Rate Budget Deluxe Cost Cost Cost CostActivity Cost Pool Driver × Rate = Assigned Driver × Rate = Assigned
RECOMMENDED!!Randel Manufacturing has five activity cost pools
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