Accola Company uses activity-based costing. The company has two products: A and B. The annual production and sales of Product A is 1,100 units and of Product B is 700 units. There are three activity cost pools, with estimated costs and expected activity as follows:

-The cost per unit of Product A is closest to which of the following?
A) $22.70.
B) $47.89.
C) $57.20.
D) $59.23.

Question

Accola Company uses activity-based costing. The company has two products: A and B. The annual production and sales of Product A is 1,100 units and of Product B is 700 units. There are three activity cost pools, with estimated costs and expected activity as follows:

-The cost per unit of Product A is closest to which of the following?

-The cost per unit of Product A is closest to which of the following?
A) $22.70. 
B) $47.89. 
C) $57.20. 
D) $59.23.

Quizplus · Accepted Answer

The Answer of Accola Company uses activity-based costing. The company has two products: A and B. The annual production and sales of Product A is 1,100 units and of Product B is 700 units. There are three activity cost pools, with estimated costs and expected activity as follows:

-The cost per unit of Product A is closest to which of the following?
A) $22.70. 
B) $47.89. 
C) $57.20. 
D) $59.23.

Accola Company Uses Activity-Based Costing