Kozlov Corporation has provided the following data from its activity-based costing system: Activity Cost Pool Total Cost
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Question:
Kozlov Corporation has provided the following data from its activity-based costing system:
Activity Cost Pool | Total Cost | Total Activity | ||||
Assembly | $ | 942,480 | 66,000 | machine hours | ||
Processing orders | $ | 85,050 | 1,800 | orders | ||
Inspection | $ | 126,854 | 1,820 | inspection hours | ||
The company makes 430 units of product A21W a year, requiring a total of 690 machine-hours, 40 orders, and 10 inspection-hours per year. The product’s direct materials cost is $35.72 per unit and its direct labor cost is $29.46 per unit. According to the activity-based costing system, the total overhead cost of producing 430 units of A21W is:
Multiple Choice
$11,121.40
$13,338.20
$32,370.00
$12,440.20
$12,215.70
Related Book For
Managerial Accounting
ISBN: 9780073526706
12th Edition
Authors: Ray H. Garrison, Eric W. Noreen, Peter C. Brewer
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