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Everlast Co Using ABC, How Much Total Overhead Is Assigned to the Plant

Question 15

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Everlast Co. manufactures a variety of drill bits. The company's plant is partially automated. The budget for the year includes $432,000 payroll for 4,800 direct labor-hours. Listed below is cost driver information used in the product-costing system: Everlast Co. manufactures a variety of drill bits. The company's plant is partially automated. The budget for the year includes $432,000 payroll for 4,800 direct labor-hours. Listed below is cost driver information used in the product-costing system: A current product order has the following requirements: \begin{array}{lrr} \text { Machine setups } & 8 & \text { setups } \\ \text { Materials handling } & 606 & \text { barrels } \\ \text { Quality inspections } & 80 & \text { inspections } \\ \text { Machine hours } & 830 & \text { machine hours } \\ \text { Direct labor hour } & 336 & \text { hours } \end{array}  Using ABC, how much total overhead is assigned to the order? A) $42,160. B) $43,740. C) $44,268. D) $44,432. E) $45,993. A current product order has the following requirements:  Machine setups 8 setups  Materials handling 606 barrels  Quality inspections 80 inspections  Machine hours 830 machine hours  Direct labor hour 336 hours \begin{array}{lrr}\text { Machine setups } & 8 & \text { setups } \\\text { Materials handling } & 606 & \text { barrels } \\\text { Quality inspections } & 80 & \text { inspections } \\\text { Machine hours } & 830 & \text { machine hours } \\\text { Direct labor hour } & 336 & \text { hours }\end{array}
Using ABC, how much total overhead is assigned to the order?


A) $42,160.
B) $43,740.
C) $44,268.
D) $44,432.
E) $45,993.

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