Use the information below to answer the following question(s):
Electronics Unlimited uses activity-based costing to allocate all manufacturing conversion costs. Electronics Unlimited produces computer keyboards; each computer keyboard has $8.00 of direct materials, includes 12 parts and requires 1/2 hour of machine time. Additional information follows:

-What is the cost of materials handling per computer keyboard?
A) $0.88
B) $3.00
C) $6.00
D) $12.00

Question

Use the information below to answer the following question(s):
Electronics Unlimited uses activity-based costing to allocate all manufacturing conversion costs. Electronics Unlimited produces computer keyboards; each computer keyboard has $8.00 of direct materials, includes 12 parts and requires 1/2 hour of machine time. Additional information follows:
 
-What is the cost of materials handling per computer keyboard?
A) $0.88 
B) $3.00 
C) $6.00 
D) $12.00

Quizplus · Accepted Answer

B) 12 parts × .25 = $3.00

Use the Information Below to Answer the Following Question(s)