Solved

CompInc Produces Two Products: a High-End Laptop Computer and an Inexpensive

Question 20

Multiple Choice

CompInc. produces two products: a high-end laptop computer and an inexpensive laptop. The two products use two overhead activities, which have the following costs:
The controller has collected the expected annual prime costs for each product, the machine hours, the setup hours, and the expected production.
 Setting up equipment $8,000 Machining 48,000\begin{array}{lr}\text { Setting up equipment } & \$ 8,000 \\\text { Machining } & 48,000\end{array}  High-end  Inexpensive  Direct Labour $24,000$8,000 Direct Materials 15,0004,000 Units 2,0002,000 Machine Hours 1,0003,000 Setup Hours 15050\begin{array} { l r r } & \text { High-end } & \text { Inexpensive } \\\text { Direct Labour } & \$ 24,000 & \$ 8,000 \\\text { Direct Materials } & 15,000 & 4,000 \\\text { Units } & 2,000 & 2,000 \\\text { Machine Hours } & 1,000 & 3,000 \\\text { Setup Hours } & 150 & 50\end{array}
-Refer to the Figure.What is the inexpensive laptop's consumption ratio for setup hours?


A) 0.25
B) 0.45
C) 0.50
D) 0.75

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents