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 $327,000
Depreciation 315,000
Utilities 167,000
Total $809,000
Distribution of resource consumption:
Activity Cost Pools
Assembly Setting Up Other Total
Wages and salaries 40% 35% 25% 100%
Depreciation 25% 10% 65% 100%
Utilities 15% 50% 35% 100%
How much cost, in total, would be allocated in the first-stage allocation to the Assembly activity cost pool?
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