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Bertsche Enterprises Makes a Variety of Products That It Sells

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Bertsche Enterprises makes a variety of products that it sells to other businesses. The company's activity-based costing system has four activity cost pools for assigning costs to products and customers. Details concerning that ABC system are listed below: Bertsche Enterprises makes a variety of products that it sells to other businesses. The company's activity-based costing system has four activity cost pools for assigning costs to products and customers. Details concerning that ABC system are listed below:   The cost of serving customers, $1,488.00 per customer, is the cost of serving a customer for one year.Yousif Corporation buys only one of the company's products which Bertsche Enterprises sells for $25.00 per unit. Last year Yousif Corporation ordered a total of 900 units of this product in 3 orders. To fill the orders, 11 batches were required. The direct materials cost is $8.20 per unit and the direct labor cost is $7.65 per unit. Each unit requires 0.40 Direct labor-hours.According to the ABC system, the total cost of the activity  Supporting assembly  for this customer this past year was closest to: A)  $2,880.00 B)  $1.28 C)  $1,152.00 D)  $360.00 The cost of serving customers, $1,488.00 per customer, is the cost of serving a customer for one year.Yousif Corporation buys only one of the company's products which Bertsche Enterprises sells for $25.00 per unit. Last year Yousif Corporation ordered a total of 900 units of this product in 3 orders. To fill the orders, 11 batches were required. The direct materials cost is $8.20 per unit and the direct labor cost is $7.65 per unit. Each unit requires 0.40 Direct labor-hours.According to the ABC system, the total cost of the activity "Supporting assembly" for this customer this past year was closest to:


Definitions:

Special Treatment

Provision of unique or preferential behavior towards an individual or group, differentiating them from others.

Exchanging Favors

The act of giving and receiving services, goods, or benefits among individuals or groups, often informally to maintain social bonds or strategic relationships.

Forming a Coalition

The process of bringing together multiple parties or groups with a common interest to achieve a specific goal or address a collective issue.

Legitimize

To make something legal, acceptable, or recognized according to laws or rules.

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