Posted: March 26th, 2021

The controller for wolfe machining has established the following

The controller for Wolfe Machining has established the following overhead cost pools and cost drivers:

Order no. 715 has the following production requirements:
Machine setups: 7             Raw material: 11,200 units
Inspections: 16                  Machine hours: 850

a. Compute the total overhead that should be assigned to order no. 715 by using activity-based costing.

b. Suppose that Wolfe were to use a single, predetermined overhead rate based on machine hours. Compute the rate per hour and the total overhead assigned to order no. 715.

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