A company has two products: A and B.It uses activity-based costing and has prepared the following analysis showing budgeted cost and activity for each of its three activity cost pools: Annual production and sales level of Product A is 34,300 units,and the annual production and sales level of Product B is 69,550 units.
-What is the approximate overhead cost per unit of Product A under activity-based costing?
A)$3.00
B)$2.00
C)$10.28
D)$15.00
E)$2.33

Question

A company has two products: A and B.It uses activity-based costing and has prepared the following analysis showing budgeted cost and activity for each of its three activity cost pools:  Annual production and sales level of Product A is 34,300 units,and the annual production and sales level of Product B is 69,550 units.
-What is the approximate overhead cost per unit of Product A under activity-based costing?
A)$3.00 
B)$2.00 
C)$10.28 
D)$15.00 
E)$2.33

Quizplus · Accepted Answer

The Answer of A company has two products: A and B.It uses activity-based costing and has prepared the following analysis showing budgeted cost and activity for each of its three activity cost pools:  Annual production and sales level of Product A is 34,300 units,and the annual production and sales level of Product B is 69,550 units.
-What is the approximate overhead cost per unit of Product A under activity-based costing?
A)$3.00 
B)$2.00 
C)$10.28 
D)$15.00 
E)$2.33

A Company Has Two Products: a and B