In activity-based costing, unit product costs computed for external financial re

Q: In activity-based costing, unit product costs computed for external financial re

Correct answer is multiplying the activity rate for each cost pool by the corresponding amount of activity required per unit of the product. ABC is an activity based costing where activities are added to the cost of the product as they are used by the product. **Please give a like for the answer and explanation, thanks***

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Question

In activity-based costing, unit product costs computed for external financial reports include manufacturing overhead computed by:

multiplying the activity rate for each cost pool by the corresponding amount of activity required per unit of the product.

multiplying the predetermined overhead rate by the direct labor-hours required per unit of the product.

multiplying the activity rate for each cost pool by the direct labor-hours required per unit of the product.

tracing the manufacturing overhead cost to the product.

Explanation / Answer

Correct answer is multiplying the activity rate for each cost pool by the corresponding amount of activity required per unit of the product.

ABC is an activity based costing where activities are added to the cost of the product as they are used by the product.

**Please give a like for the answer and explanation, thanks***

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In activity-based costing, the total overhead cost in an activity cost pool can

In actual practice, a recrystallization step works best when you dissolve your p

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In activity-based costing, unit product costs computed for external financial re

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