Question: Johnson & Johnson is implementing activity-based costing (ABC). The company identified the following activities and costs: Machine setup $100,000, Quality control $150,000, and Packaging $50,000.

Johnson & Johnson is implementing activity-based costing (ABC). The company identified the following activities and costs: Machine setup $100,000, Quality control $150,000, and Packaging $50,000. The cost drivers for these activities are as follows: Machine setup (200 setups), Quality control (300 inspections), and Packaging (500 units). Calculate the cost per cost driver.

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