Duquesne Incorporated recently implemented an activity-based costing system.Total results from all products manufactured in the current year are:
Duquesne manufactures sprinkler heads for commercial applications.Annual production and sales of one of its heads,is 2,300.The following relates to the most recent year.
Required:
1.Calculate the activity cost pool rates for each of the three activity cost pools listed.
2.Calculate the average cost of one sprinkler head.

Question

Duquesne Incorporated recently implemented an activity-based costing system.Total results from all products manufactured in the current year are:  
Duquesne manufactures sprinkler heads for commercial applications.Annual production and sales of one of its heads,is 2,300.The following relates to the most recent year.  
Required:
1.Calculate the activity cost pool rates for each of the three activity cost pools listed.
2.Calculate the average cost of one sprinkler head.

Quizplus · Accepted Answer

The Answer of Duquesne Incorporated recently implemented an activity-based costing system.Total results from all products manufactured in the current year are:  
Duquesne manufactures sprinkler heads for commercial applications.Annual production and sales of one of its heads,is 2,300.The following relates to the most recent year.  
Required:
1.Calculate the activity cost pool rates for each of the three activity cost pools listed.
2.Calculate the average cost of one sprinkler head.

Duquesne Incorporated Recently Implemented an Activity-Based Costing System