Exhibit 17-2 BigView Monitors Manufactures Three Different Sizes of Computer

question 10

Multiple Choice

Exhibit 17-2 BigView Monitors manufactures three different sizes of computer monitors: 15-inch, 17-inch, and 20-inch. The company has recently implemented an activity-based costing system. BigView has identified five different production activities as well as the best cost driver for each activity. Each activity and driver is listed below, along with the budgeted amount that is associated with each activity for next year.
The following information relates to each size of monitor and next year's anticipated manufacturing operations:

-Refer to Exhibit 17-2. What is BigView's cost per cost driver for testing for next year (rounded) ?

• A) $1.33 per labor hour
• B) $3.40 per labor hour
• C) $3.58 per labor hour
• D) $6.80 per labor hour

---

Definitions:

Slow Fibers

Muscle fibers characterized by their slow contraction speed and a high capacity for endurance through efficient energy use.

Unmyelinated

Refers to nerve fibers that lack a myelin sheath, affecting the speed of electric signal transmission in the nervous system.

Receptors Located

Sites on a cell or nerve that respond to specific stimuli, such as hormones, neurotransmitters, or environmental changes.

Space

The infinite extension in all directions, encompassing all matter and energy, often considered in physics, astronomy, and philosophical discussions.