Levine Company Levine Company produces two products: A and B The company has three overhead functions that are required for both products.
Below is production information for Products A and B:
The company produces 800 units of Product A and 8,000 units of Product B each period.
The overhead functions have the following hourly costs:
Refer to Levine Company If total overhead is assigned to A and B on the basis of overhead activity hours used,the total product cost per unit assigned to Product A will be
A)$86.32.
B)$95.00.
C)$115.50.
D)None of the responses are correct.

Question

Levine Company Levine Company produces two products: A and B The company has three overhead functions that are required for both products.
Below is production information for Products A and B:
 The company produces 800 units of Product A and 8,000 units of Product B each period.
The overhead functions have the following hourly costs:
 Refer to Levine Company If total overhead is assigned to A and B on the basis of overhead activity hours used,the total product cost per unit assigned to Product A will be
A)$86.32. 
B)$95.00. 
C)$115.50. 
D)None of the responses are correct.

Quizplus · Accepted Answer

The Answer of Levine Company Levine Company produces two products: A and B The company has three overhead functions that are required for both products.
Below is production information for Products A and B:
 The company produces 800 units of Product A and 8,000 units of Product B each period.
The overhead functions have the following hourly costs:
 Refer to Levine Company If total overhead is assigned to A and B on the basis of overhead activity hours used,the total product cost per unit assigned to Product A will be
A)$86.32. 
B)$95.00. 
C)$115.50. 
D)None of the responses are correct.

Levine Company Levine Company Produces Two Products: a and B