Galloway Athletic Goods manufacturers soccer balls. They use an ABC method to assign their manufacturing overhead costs. The identified activities, cost driver, and activity cost pools have been summarized below: Activity Cost Driver Estimated Cost Pool Estimated Cost Driver Construction machine hours $265,000 53,000 machine hours Assembly DL hours $224,000 8,960 DL hours Movement # moves $75,000 10 moves Total $563,000 The actual cost driver amounts that occurred during production are as follows: 40,000 machine hours 8,200 DL hours 4 moves What is the total applied manufacturing overhead? Please provide your answer to the nearest dollar.
Galloway Athletic Goods manufacturers soccer balls. They use an ABC method to assign their manufacturing overhead costs. The identified activities, cost driver, and activity cost pools have been summarized below: Activity Cost Driver Estimated Cost Pool Estimated Cost Driver Construction machine hours $265,000 53,000 machine hours Assembly DL hours $224,000 8,960 DL hours Movement # moves $75,000 10 moves Total $563,000 The actual cost driver amounts that occurred during production are as follows: 40,000 machine hours 8,200 DL hours 4 moves What is the total applied manufacturing overhead? Please provide your answer to the nearest dollar.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Galloway Athletic Goods manufacturers soccer balls. They use an ABC method to assign their
| Activity | Cost Driver | Estimated Cost Pool | Estimated Cost Driver |
| Construction | machine hours | $265,000 | 53,000 machine hours |
| Assembly | DL hours | $224,000 | 8,960 DL hours |
| Movement | # moves | $75,000 | 10 moves |
| Total | $563,000 |
The actual cost driver amounts that occurred during production are as follows:
- 40,000 machine hours
- 8,200 DL hours
- 4 moves
What is the total applied manufacturing overhead? Please provide your answer to the nearest dollar.
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