Daniele Corporation uses an activity-based costing system with the following thr

Question

Daniele Corporation uses an activity-based costing system with the following three activity cost pools: Activity Cost Pool Total Activity Fabrication 50,000 machine-hours Order processing 500 orders Other not applicable The Other activity cost pool is used to accumulate costs of idle capacity and organization-sustaining costs. The company has provided the following data concerning its costs: Cost Data Wages and salaries $280,000 Depreciation $200,000 Occupancy $140,000 Total $620,000 The distribution of resource consumption across activity cost pools is given below: Activity Cost Pools Fabrication Order Processing Other Total Wages and salaries 60% 30% 10% 100% Depreciation 20% 35% 45% 100% Occupancy 10% 50% 40% 100% The activity rate for the Fabrication activity cost pool is closest to

Explanation / Answer

net = $222000 = 222,000/50000= $.4.44 PER-HOUR

Related Questions

Navigate

• Browse (All)
• Browse D
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.