Question: Meester Corporation has an activity based costing system with three activity cost pools Machining Order Filling, and other in the first stage locations.costs in the


Meester Corporation has an activity based costing system with three activity cost pools Machining Order Filling, and other in the first stage locations.costs in the two overhead accounts, equipment depreciation and supervisory expense, are allocated to three activity cost pools based on resource consumption. Data used in the first stage allocations follow Overhead costs: Equipment depreciation Supervisory expense 596,000 $ 8,000 45-30 Distribution of Resource Consumption Across Activity Cost Pools: Activity Cost Pools Order Filling Machining 0.3e e.be Other 0.6e Equipment depreciation Supervisory expense 0.10 0.3e Machining costs are assigned to products using machine hours (MH) and Ordering costs are assigned to products using the number of orders. The costs in the Other activity cost pool are not assigned to products Activity data for the company's two products follow Activity Product Me Product H2 Total MS (Machining) 4,500 5,5ee 10,000 Orders (Order Filling) 400 GOO 1.000 to search Help Save Machining costs are assigned to products using machine hours (MHS) and Order Filling costs are assigned to products using the number of orders. The costs in the Other activity cost pool are not assigned to products. Activity data for the company's two products follow Activity: Product Me Product H2 Total (Machining) 4,500 5,500 10,000 Orders (Order Filling) see tee 1.ee The activity rate for the Order Fang actity cost pool under activity based costing is closest to Multiple Choice O $8.00 per order C) $13.33 per order Multiple Choice o $800 per order o $13.33 per order O $10.40 per order C) $104.00 per order
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