The Cosmo Corporation manufactures and assembles office chairs. Cosmo uses an activity-based costing system to allocate all manufacturing conversion costs. Each chair consists of 15 separate parts totaling $125 in direct materials, and requires 2.0 hours of machine time to produce. Additional information follows: What is the number of finished coffee tables?
A)20
B)100
C)250
D)Cannot be determined from the information given

Question

The Cosmo Corporation manufactures and assembles office chairs. Cosmo uses an activity-based costing system to allocate all manufacturing conversion costs. Each chair consists of 15 separate parts totaling $125 in direct materials, and requires 2.0 hours of machine time to produce. Additional information follows:  What is the number of finished coffee tables?
A)20 
B)100 
C)250 
D)Cannot be determined from the information given

Quizplus · Accepted Answer

The information given only provides information about office chairs, not coffee tables. Therefore, we cannot determine the number of finished coffee tables.

The Cosmo Corporation Manufactures and Assembles Office Chairs