Question: Ginger Corporation uses an activity-based costing system with three activity cost pools. The company has provided the following data concerning its costs and its activity
Ginger Corporation uses an activity-based costing system with three activity cost pools. The company has provided the following data concerning its costs and its activity based costing system:
Costs:
Wages and salaries $360,000
Depreciation 140,000
Utilities 160,000
Total $660,000
Distribution of resource consumption:
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How much cost, in total, would be allocated in the first-stage allocation to the Setting Up activity costpool?
Activity Cost Pools Assembly 10% 590 15% Setting Up 80% 50% 60% Other 10% 4590 2590 Total Wages and salaries Depreciation Utilities th 100% 100% 100%
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