Hails Corporation manufactures two products: Product Q21F and Product H44W. The company uses a plantwide overhead...

Hails Corporation manufactures two products: Product Q21F and Product H44W. The company uses a plantwide overhead rate based on direct labor-hours. It is considering implementing an activity-based costing (ABC) system that allocates its manufacturing overhead to four cost pools. The following additional information is available for the company as a whole and for Products Q21F and H44W.

Activity Cost Pool	Activity Measure	Total Cost		Total Activity
Machining	Machine-hours	$	195,000	13,000	MHs
Machine setups	Number of setups	$	90,000	150	setups
Product design	Number of products	$	64,000	2	products
Order size	Direct labor-hours	$	280,000	10,000	DLHs

Activity Measure	Product Q21F	Product H44W
Machine-hours	9,000	4,000
Number of setups	80	70
Number of products	1	1
Direct labor-hours	6,000	4,000

Using the ABC system, the percentage of the total overhead cost that is assigned to Product Q21F is closest to:

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ekkarill92 answered 1 year ago

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