9 Scholfield Enterprises makes a variety of products that it sells to other businesses. The company's activity-based costing system has four activity cost pools for assigning costs to products and customers. Detalls concerning that activity-based costing system are listed below:Activity Cost PoolSupporting assemblyProcessing batchesProcessing ordersActivity MeasureDirect labor-hours (DLHs)Number of batches.Number of ordersServing customersNumber of customersThe cost of serving customers, $1,191.00 per customer, is the cost of serving a customer for one year.Latif Corporation buys only one of the company's products which Scholfield Enterprises sells for $15.60 per unit. Last year Latif Corporation ordered a total of 1,100 units of this product in 2 orders. To fill the orders, 7 batches were required. The direct materials cost is $7.85 per unit andthe direct labor cost is $1.90 per unit. Each unit requires 0.10 direct labor-hours.According to the activity-based costing system, the total overhead cost for this customer this past year was closest to:Multiple Choice$2,984.10$1,793.10$10,725.00Activity Rate$6.55 per DLH$138.20 per batch.$ 52.60 per order$1,191.00 per customer$13,709.10

Manufacturing Overhead includes all th indirect costs incurred in connection with production the…

cholfield Enterprises makes a variety of products that it sells to other businesses. The company's activity-based costing system has four activity cost pools for assigning costs to products and customers. Detalls concerning that activity-based costing system are listed below: Activity Cost Pool Supporting assembly Processing batches Activity Measure Direct labor-hours (DLHS). Number of batches. Processing orders Number of orders Serving customers Number of customers Multiple Choice O he cost of serving customers, $1,191.00 per customer, is the cost of serving a customer for one year. atif Corporation buys only one of the company's products which Scholfield Enterprises sells for $15.60 per unit. Last year Latif Corporation ordered a total of 1,100 units of this product in 2 orders. To fill the orders, 7 batches were required. The direct materials cost is $7.85 per unit and e direct labor cost is $1.90 per unit. Each unit requires 0.10 direct labor-hours. ccording to the activity-based costing system, the total overhead cost for this customer this past year was closest to: O O $2.984.10 $1,793.10 $10,725.00 Activity Rate $13.709.10 $ 6.55 per DLH $ 138.20 per batch $ 52.60 per order $1,191.00 per customer

cholfield Enterprises makes a variety of products that it sells to other businesses. The company's activity-based costing system has four activity cost pools for assigning costs to products and customers. Detalls concerning that activity-based costing system are listed below: Activity Cost Pool Supporting assembly Processing batches Activity Measure Direct labor-hours (DLHS). Number of batches. Processing orders Number of orders Serving customers Number of customers Multiple Choice O he cost of serving customers, $1,191.00 per customer, is the cost of serving a customer for one year. atif Corporation buys only one of the company's products which Scholfield Enterprises sells for $15.60 per unit. Last year Latif Corporation ordered a total of 1,100 units of this product in 2 orders. To fill the orders, 7 batches were required. The direct materials cost is $7.85 per unit and e direct labor cost is $1.90 per unit. Each unit requires 0.10 direct labor-hours. ccording to the activity-based costing system, the total overhead cost for this customer this past year was closest to: O O $2.984.10 $1,793.10 $10,725.00 Activity Rate $13.709.10 $ 6.55 per DLH $ 138.20 per batch $ 52.60 per order $1,191.00 per customer

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 12E: Activity cost pools, activity rates, and product costs using activity-based costing Caldwell Home...

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