Question: Eccles 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

Eccles 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 $ 321,000
Depreciation 308,000
Utilities 145,000
Total $ 774,000

Distribution of resource consumption:

Activity Cost Pools
Assembly Setting Up Other Total
Wages and salaries 55% 20% 25% 100%
Depreciation 20% 20% 60% 100%
Utilities 35% 60% 5% 100%

How much cost, in total, would be allocated in the first-stage allocation to the Assembly activity cost pool?

rev: 11_09_2017_QC_CS-108764

Garrison 16e Rechecks 2018-07-24

Multiple Choice

  • $276,233

  • $288,900

  • $425,700

  • $270,900

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