Harper Co. supplied the following data for use in its activity-based costing (ABC) system. ...

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Accounting

Harper Co. supplied the following data for use in its activity-based costing (ABC) system.
Labor-related overhead costs total $250,000
Machinery-related overhead costs total $150,000.
Below are the companys three cost pools and the measures related to those cost pools:
Cost pool 1: Resource support costs are allocated based on 50,000 total direct labor-hours
Cost pool 2: Order processing costs are allocated based on 200 orders
Cost pool 3: General costs are facility-level costs
Labor-related overhead costs are estimated to consume 50% of resource support costs, 40% order processing costs, and 10% of general costs. Machinery-related overhead costs are estimated to consume 25% of resource support costs, 25% of order processing costs, and 50% of general costs.
What is the allocation rate used to allocate resource support costs?
Group of answer choices
A. $3.25 per direct labor hour
B. $3.30 per direct labor hour
C. $3.15 per direct labor hour
D. $4.50 per direct labor hour
E. $3.75 per direct labor hour
Harper Co. received a new job that consists of 10 separate orders and requires a total of 500 direct-labor hours. What is the total overhead cost that will be allocated to this job?
Group of answer choices
A. $9,200
B. $8,300
C. $7,250
D. $7,500
E. $8,500

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