Annual production and sales of Product A is 34,600 units, and the annual production and sales level of product B is 69,850 units. What is approximate overhead cost per unit of product b under activity-based costing?

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 three activity cost pools:

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Budgeted Cost 87000 Activity cost pool Activity 1 Activity 2 Activity 3 А B 3000 2800 62000 4500 5500 93000 2500 5250 Budgeted Cost 87000 Activity cost pool Activity 1 Activity 2 Activity 3 А B 3000 2800 62000 4500 5500 93000 2500 5250

Answer rating: 100% (QA)

Answer Particulars Budgeted Cost Budgeted Activity Activity Rate Product ... View the full answer