Question: ........... XYZ Co has an activity-based costing system with three activity cost pools-Fixing, Cutting, and Other. In the first stage allocations, costs in the two

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........... XYZ Co has an activity-based costing
XYZ Co has an activity-based costing system with three activity cost pools-Fixing, Cutting, and Other. In the first stage allocations, costs in the two overhead accounts, equipment depreciation and factory expense, are allocated to three activity cost pools based on resource consumption. Data used in the first stage Fallocations follow Overhead costs $79,600 Factory depreciation $5,000 Indirect labor Distribution of Resource Consumption Across Activity Cost Pools Activity Cost Pools Other Cutting Fixing 0.20 0:50 0.30 Equipment depreciation 0.20 0.30 0.50 Factory expense Fixing costs are assigned to products using machine-hours (MHs) and Cutting 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 Orders (Cutting) Machine-hours (Fixing) 1,070 1,550 Product A 1,630 9,700 Product B The activity rate for the Cutting activity cost pool under activity-based costing is closest to (Round your intermediate calculations to 2 decimal place) a. $15.30 per order O b. $94.00 per order O c. $6.83 per order d. $9.77 per order O fe. none of the given answer O

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