Viren Corporation has provided the following data from its activity-based costin
ID: 2371528 • Letter: V
Question
Viren Corporation has provided the following data from its activity-based costing system:Activity Cost PoolTotal Cost Total Activity
Assembly $387,000 25,000 machine-hours
Processing orders $68,510 1,700 orders
Inspection $129,117 1,930 inspection-hours
The company makes 240 units of product T91H a year, requiring a total of 550 machine hours, 90 orders, and 40 inspection hours per year. The product's direct materials cost is $16.98 per unit, and its direct labor cost is $12.09 per unit. According to the activity-based costing system, the average cost of product T91H is closest to _______ per unit.
Explanation / Answer
Activity cost Pool total Cost total activity closest to ___$75.70 _ per unit.
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