Sleep Tight Company manufactures pillows using an activity-based costing system to allocate all manufacturing conversion costs. The company has identified "assembling" activity to which it has allocated estimated overhead of $13,860. It has determined the estimated use of cost drivers for that activity to be 4,200 parts. Each pillow consists of 4 parts. What is the cost of ‘assembling’ activity for each pillow?

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Answer is 1320 Calculation of Activity rates Activity Cost Pool Assembling activity ... View the full answer