Skipper Company manufactures toy boats and uses an activity-based costing system. The following information is provided...

Transcribed Image Text:

Skipper Company manufactures toy boats and uses an activity-based costing system. The following information is provided for the month of May. Estimated Quantity of Allocation Base 5.000 parts 5.000 parts 1,150 boats Estimated Indirect Activity Materials handling Assembling Packaging Activity Costs $3.200 Allocation Base Number of parts Number of parts $5,000 $5,000 Number of boats Each boat consists of four parts, and the direct materials cost per boat is $7.66. There is no direct labor. What is the total manufacturing cost per boat? (Round any intermediate calculations and your final answer to the nearest cent.) O A. $19.35 OB. $11.69 C. $2.81 D. $14.22 Skipper Company manufactures toy boats and uses an activity-based costing system. The following information is provided for the month of May. Estimated Quantity of Allocation Base 5.000 parts 5.000 parts 1,150 boats Estimated Indirect Activity Materials handling Assembling Packaging Activity Costs $3.200 Allocation Base Number of parts Number of parts $5,000 $5,000 Number of boats Each boat consists of four parts, and the direct materials cost per boat is $7.66. There is no direct labor. What is the total manufacturing cost per boat? (Round any intermediate calculations and your final answer to the nearest cent.) O A. $19.35 OB. $11.69 C. $2.81 D. $14.22

Answer rating: 100% (QA)

Direct material 766 Material ... View the full answer