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jeyben [28]
3 years ago
8

Mabbe Company uses activity-based costing. The company has two products: A and B. The annual production and sales of Product A i

s 800 units and of Product B is 600 units. There are three activity cost pools, with estimated costs and expected activity as follows:
Activity Cost Pools Estimated Overhead Cost Expected Activity
Product A Product B Product C
Activity 1 $17460 600 600 1200
Activity 2 $19987 1700 600 2300
Activity 3 $29884 400 120 520

The activity rate for Activity 2 is closest to: __________
a. $29.274
b. $33.311
c. $11.764
d. $8.69
Business
1 answer:
vagabundo [1.1K]3 years ago
7 0

Answer:

d. $8.69

Explanation:

Activity rate for Activity 2 = Estimated Overhead Cost / Expected Activity

Activity rate for Activity 2 = $19,987.00 / 2300

Activity rate for Activity 2 = $8.69 per activity

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3 years ago
Strategic planning starts with a _____ that reflects a firm’s vision, purpose, and values.
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2 years ago
The transactions of Spade Company appear below.
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Answer:

Entries are given

Explanation:

We will record assets and expenses on the debit as they increase during the year and will record liabilities and capital on the credit side as they increase during the year or vice versa.

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Common stock                   14250

Cash                                                           14250

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