Beaver Company manufactures coffee tables and uses an activity-based costing system to allocate all manufacturing conversion costs. Each coffee table consists of 20 separate parts totaling $220 in direct materials, and requires 7.0 hours of machine time to produce. Additional information follows: What is the total manufacturing cost per coffee table?
A)$305.70
B)$85.70
C)$301.70
D)$62.00

Question

Beaver Company manufactures coffee tables and uses an activity-based costing system to allocate all manufacturing conversion costs. Each coffee table consists of 20 separate parts totaling $220 in direct materials, and requires 7.0 hours of machine time to produce. Additional information follows:  What is the total manufacturing cost per coffee table?
A)$305.70 
B)$85.70 
C)$301.70 
D)$62.00

Quizplus · Accepted Answer

The Answer of Beaver Company manufactures coffee tables and uses an activity-based costing system to allocate all manufacturing conversion costs. Each coffee table consists of 20 separate parts totaling $220 in direct materials, and requires 7.0 hours of machine time to produce. Additional information follows:  What is the total manufacturing cost per coffee table?
A)$305.70 
B)$85.70 
C)$301.70 
D)$62.00

Beaver Company Manufactures Coffee Tables and Uses an Activity-Based Costing