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A company has two products A and B. it uses activity-based costing and has prepared the following analysis showing budgeted cost and activity for each of its of its three activities Activity Activity 1 Activity 2 Activity 3 Muple Choice O O O Annual production and sales level of Product A is 36,000 units, and the annual production and sales level of Product B is 71,250 units. What is the approximate overhead cost per une of Product B under activity-based costing? $2.42 $11.30 $148 $10.26 Budgeted Cost $ 104,000 $ 79,000 $ 127,000 $3.82 Activity Cost Driver Square feet Units produced Setups Budgeted Activity Product A 4,700 6,200 4,200 Product B 4,500 7,200 6,950

A company has two products A and B. it uses activity-based costing and has prepared the following analysis showing budgeted cost and activity for each of its of its three activities Activity Activity 1 Activity 2 Activity 3 Muple Choice O O O Annual production and sales level of Product A is 36,000 units, and the annual production and sales level of Product B is 71,250 units. What is the approximate overhead cost per une of Product B under activity-based costing? $2.42 $11.30 $148 $10.26 Budgeted Cost $ 104,000 $ 79,000 $ 127,000 $3.82 Activity Cost Driver Square feet Units produced Setups Budgeted Activity Product A 4,700 6,200 4,200 Product B 4,500 7,200 6,950

Managerial Accounting
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter4: Activity-based Costing
Section: Chapter Questions
Problem 11E: Lonsdale Inc. manufactures entry and dining room lighting fixtures. Five activities are used in...
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A company has two products A and B. it uses activity-based costing and has prepared the following analysis showing budgeted cost and activity for each of its of its three activities Budgeted Activity Activity Activity 1 Activity 2 Activity 3 Muple Choice O O O Annual production and sales level of Product A is 36,000 units, and the annual production and sales level of Product B is 71,250 units. What is the approximate overhead cost per une of Product B under activity-based costing? $2.42 $11.30 $148 $10.26 Budgeted Cost $ 104,000 $ 79,000 $ 127,000 $3.82 Activity Cost Driver Square feet Units produced Setups Product A 4,700 6,200 4,200 Product B 4,500 7,200 6,950
Transcribed Image Text:A company has two products A and B. it uses activity-based costing and has prepared the following analysis showing budgeted cost and activity for each of its of its three activities Budgeted Activity Activity Activity 1 Activity 2 Activity 3 Muple Choice O O O Annual production and sales level of Product A is 36,000 units, and the annual production and sales level of Product B is 71,250 units. What is the approximate overhead cost per une of Product B under activity-based costing? $2.42 $11.30 $148 $10.26 Budgeted Cost $ 104,000 $ 79,000 $ 127,000 $3.82 Activity Cost Driver Square feet Units produced Setups Product A 4,700 6,200 4,200 Product B 4,500 7,200 6,950
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