Veronica Co $\quad$ $\quad$ $\quad$ $\begin{array} { c c c c } \underline{\text { Rain }} & \underline{\text { Snow }} & \underline{\text { Wind }} \\\end{array}$

question 50

Short Answer

Veronica Co.produces three products, Products Rain, Snow, and Wind.Product Rain requires 15 machine setups, Product Snow requires 20 setups, and Product Wind requires 35 setups.Veronica has identified an activity cost pool with allocated overhead of $420,000 for which the cost driver is machine setups.How much overhead is assigned to each product? $\quad$ $\quad$ $\quad$$\begin{array} { c c c c } \underline{\text { Rain }} & \underline{\text { Snow }} & \underline{\text { Wind }} \\\end{array}$
a) $\begin{array} { c c c c } & \$ 140,000 & \$ 140,000 &\$140,000\\\end{array}$
b) $\begin{array} { c c c c }&\$28,000&\$21,000&\$12,000\end{array}$
c) $\begin{array} { c c c c }&\$90,000&\$120,000&\$210,000\end{array}$
d) $\begin{array} { c c c c }&\$12,000&\$21,000&\$28,000\end{array}$

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Definitions:

Habituation

A psychological learning process wherein there is a decrease in response to a stimulus after being repeatedly exposed to it.

Extinction

In behavioral psychology, the process through which a learned response is diminished or diminishes over time following the removal of reinforcement.

Extinction

In behavioral psychology, the gradual weakening and eventual disappearance of a conditioned response when the conditioned stimulus is no longer paired with the unconditioned stimulus.

Non-associative Learning

A form of learning in which an organism becomes more (or less) responsive to a repeated stimulus over time, without the need for association between different stimuli.