Thursday 18 October 2012

Matt Company uses activity-based costing. The company has two products: A and B. The annual production and sales of Product A is 9,000 units and of

Matt Company uses activity-based costing. The company has two products: A and B. The annual production and sales of Product A is 9,000 units and of Product B is 7,500 units. There are three activity cost pools, with total cost and total activity as follows:

 

 

 

Total Activity

  Activity Cost Pool

Total Cost

Product A

Product B

Total

  Activity 1

$29,295  

220    

410    

630    

  Activity 2

$46,895  

910    

220    

1,130    

  Activity 3

$130,315  

840    

3,050    

3,890    

 

The activity-based costing cost per unit of Product A is closest to: (Round your intermediate calculations to 2 decimal places.)

 

$5.26

$8.46

$7.16

$12.25



CLICK HERE TO GET THE ANSWER !!!!

No comments:

Post a Comment