A company uses activity-based costing to determine the costs of its three products: A, B, and C. The budgeted cost and activity for each of the company's three activity cost pools are shown in the following table:.
Budgeted Activity
Activity Cost Pool Budgeted Cost Product A Product B Product C
Activity 1 $ 76,000 6600 9600 20,600
Activity 2 $ 51,000 7600 15,600 8600
Activity 3 $ 94,000 3100 1600 2225
How much overhead will be assigned to Product B using activity-based costing?
a. $66,563.37
b. $221,000.00
c. $67,098.29
d. $86,538.10
e. $76,000.00
Answers: 2
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A company uses activity-based costing to determine the costs of its three products: A, B, and C. The...
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