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damaskus [11]
3 years ago
13

Ted's Manufacturing makes two products, B and C. They each take 2 direct labor hours and 2 machine hours to produce. A batch of

Product B, however, uses twice the number of machine set-ups and requires 3 times as many materials requisitions as does Product C. Which of the following is most likely true?
a. The product cost of Product B will be higher under ABC than under traditional costing.b. The product cost of Product C will be higher under ABC costing than under traditional costingc. Traditional costing assigns a product cost that is too low to Product C.d. Traditional costing assigns a product cost that is too high to Product B.
Business
1 answer:
Delvig [45]3 years ago
3 0

Answer:

a.

Explanation:

Based on the scenario being described within the question it can be said that the statement that is most likely true is that the product cost of product B will be higher under ABC than under traditional costing. This is because Activity-based costing (ABC) bases their overhead costs on the actual consumption by each while traditional costs  overhead is applied based on the amount of machine hours consumed. Therefore since product B is characterized as having lots of consumption then it's product cost will be higher under ABC costing.

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Handy Hiking produces backpacks. In the previous year, its highest and lowest production levels occurred in July and January, re
KonstantinChe [14]

Answer:

$15 per backpack

Explanation:

The  average variable cost per of producing a backpack by using the high low method is shown below:

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Answer:

False

Explanation:

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3 years ago
Imagine that you are serving as the general manager of a hotel. What three aspects do you think would be most important to the s
Strike441 [17]

Answer:

1. Create and give innovative experience.

2. Brand and reputation operation

3. Improvement in workers general welfare

Explanation:

As a manager in an hotel, I would Improve the facets of the hotel by

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