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    cnl1404's Avatar
    cnl1404 Posts: 1, Reputation: 1
    New Member
     
    #1

    Jul 27, 2009, 08:46 AM
    Managerial accounting
    For its inspecting cost pool, Hose Company expected overhead cost of $200,000 and 4,000 inspections. The actual overhead cost for that cost pool was $240,000 for 5,000 inspections. The activity-based overhead rate used to assign the costs of the inspecting cost pool to products is


    $60 per inspection.


    $48 per inspection.


    $40 per inspection.


    $50 per inspection
    morgaine300's Avatar
    morgaine300 Posts: 6,561, Reputation: 276
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    #2

    Jul 27, 2009, 09:54 PM

    You figure ABC rates the same way you do traditional ones:
    Estimated overhead costs/estimated activity driver

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