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Ready Ride is a trucking company. It provides local, short-haul, and long-haul services. It has developed the following three cost pools. Estimated Overhead Expected Use of Cost Driver r Activit Activity Cost Pool Cost Drivers Loading and unloading Travel Number of pieces Miles driven Hours $100,000 467,000 73,000 92,300 575,000 2,850 Logistics Compute the activity-based overhead rates for each pool. (Round answers to 2 decimal places, e.g. 12.75.) Activity-Based Activity Cost Pooloverhead Rate Loading and unloading s Travel Logistics per piece per mile per hour LINK TO TEXT Determine the overhead allocated to Job XZ3275 which has 150 pieces, requires 200 miles of driving, and 0.75 hours of logistics. (Round answer to 2 decimal places, e.g. 12.75.) Overhead applied to job XZ3275

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Solution: Activity overhead rate Expected overhead cost/ Expected uses Estimated Expected Activity-Based Cost 1) Activit used 100000 92300$ 467000 575000$ 73000 2850 $ Overhead rate Loading and unloading Travel Logistics 1.08 per piece 0.81 per mile 25.61 per hour 2) Particulars Amount If rounded number is used $162.51 $ 162.00 $162.43 $ 162.00 Loading and unloading (150 1.08) Travel (2000.81) Logistics (0.75 25.61) Overhead applied to Job XZ3275 19.21$ 344.16$ 19.21 343.21

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