Determining job costs, using activity-based costing Fabreeze Manufacturing Co. uses act...

Determining job costs, using activity-based costing

Fabreeze Manufacturing Co. uses activity-based costing. The factory overhead budget for the coming period is $500,000, consisting of the following:

Required:

1. Determine the overhead rate for each cost pool, using the most appropriate allocation base for each pool. (Use each allocation base only once.)

2. Job 2525 required $25,000 for direct materials, $10,000 for direct labor, 500 direct labor hours, 1,000 machine hours, five setups, and three design changes. Determine the cost of Job 2525.