Question: Please use Table 2 to ANSWER this question. COVID Co. produces two different products (Product A and Product X) using two different activities: Machining, which

Please use Table 2 to ANSWER this question. COVID Co. produces two different products (Product A and Product X) using two different activities: Machining, which uses machine hours as an activity driver, and Inspection, which uses number of batches as an activity driver. The cost of Machining is $500,000, while the cost of Inspection is $30,000 What proportion of Inspection activity is used by Product X? Select one: a. 75% b. 25% c. None of the given ANSWER d. 20% e. 67% Table 2 The activity drivers are used as follows: Machine hours Number of batches Product A 1,200 60 Product X 4,800 20 Total 6,000 80
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
