brisky corporation uses activity based costing to compute product margins in the f 404506

Brisky Corporation uses activity based costing to compute product margins. In the first stage, the activity based costing system allocates two overhead accounts equipment depreciation and supervisory expense to three activity cost pools Machining, Order Filling, and Other based on resource consumption. Data to perform these allocations appear below: In the second stage, Machining costs are assigned to products using machine hours (MHs) and Order Filling costs are assigned to products using the number of orders. The costs in the Other activity cost pool are not assigned to products. Finally, sales and direct cost data are combined with Machining and Order Filling costs to determine product margins. 7. How much overhead cost is allocated to the Machining activity cost pool under activity based costing in the first stage of allocation? A. $11,000 B. $3,000 C. $14,000 D. $6,200 8. The activity rate for the Machining activity cost pool under activity based costing is closest to: A. $1.40 per MH B. $30.00 per MH C. $0.70 per MH D. $0.55 per MH 9. What is the overhead cost assigned to Product I3 under activity based costing? A. $3,780 B. $14,000 C. $4,560 D. $780 10. What is the product margin for Product I3 under activity based costing? A. $6,400 B. $3,040 C. $7,600 D. $3,820