Question

Jungle Junior Company manufactures and sells outdoor play equipment. Jungle Junior uses activity-based costing to determine the cost of the sales order processing and the customer return activity. The sales order processing activity has an activity rate of $ 20 per sales order, and the customer return activity has an activity rate of $ 100 per return. Jungle Junior sold 2,500 swing sets, which consisted of 750 orders and 80 returns. Determine
(a) The total
(b) The per-unit sales order processing and customer return activity cost for swing sets.



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  • CreatedJune 27, 2014
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