Wlodarczyk,Inc. ,manufactures and sells two products: Product J0 and Product Q9.Data concerning the expected production of each product and the expected total direct labor-hours (DLHs)required to produce that output appear below: The company has an activity-based costing system with the following activity cost pools,activity measures,and expected activity: The overhead applied to each unit of Product J0 under activity-based costing is closest to:
A)$263.88 per unit
B)$114.27 per unit
C)$257.42 per unit
D)$204.75 per unit

Question

Wlodarczyk,Inc. ,manufactures and sells two products: Product J0 and Product Q9.Data concerning the expected production of each product and the expected total direct labor-hours (DLHs)required to produce that output appear below:  The company has an activity-based costing system with the following activity cost pools,activity measures,and expected activity:  The overhead applied to each unit of Product J0 under activity-based costing is closest to:
A)$263.88 per unit 
B)$114.27 per unit 
C)$257.42 per unit 
D)$204.75 per unit

Quizplus · Accepted Answer

Computation of activity rates:
 11eaa3fe_3340_3dc0_908b_d72a35dabce8_TB2461_00 Computation of the overhead cost per unit under activity-based costing.
 11eaa3fe_3340_64d1_908b_b54050307585_TB2461_00