The Other activity cost pool is used to accumulate costs of idle capacity and organization-sustaining costs.
The company has provided the following data concerning its costs: The distribution of resource consumption across activity cost pools is given below:
The activity rate for the Order Processing activity cost pool is closest to:
A.$1,050 per order
B.$1,680 per order
C.$1,190 per order
<underLine>D.</underLine> $1,350 per order
Total Order Processing Cost:
-Trauscht Corporation has provided the following data from its activity-based costing system: The company makes 340 units of product P23F a year,requiring a total of 710 machine-hours,80 orders,and 40 inspection-hours per year.The product's direct materials cost is $40.05 per unit and its direct labor cost is $14.35 per unit.The product sells for $121.90 per unit. According to the activity-based costing system,the product margin for product P23F is:
A) $9,223.20
B) $7,853.60
C) $5,401.60
D) $22,950.00
Correct Answer:
Verified
Q2: An activity-based costing system is generally easier
Q13: Unit-level production activities are performed each time
Q19: In activity-based costing, organization-sustaining costs should not
Q20: Purchase order processing is an example of
Q21: The Other activity cost pool is used
Q23: The Other activity cost pool is used
Q24: The Other activity cost pool is used
Q25: The Other activity cost pool is used
Q26: The Other activity cost pool is used
Q27: The Other activity cost pool is used
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents