Tiger Pride Produces Two Product Lines: T-Shirts and Sweatshirts

question 93

Multiple Choice

Tiger Pride produces two product lines: T-shirts and Sweatshirts. Product profitability is analyzed as follows:

Tiger Pride's managers have decided to revise their current assignment of overhead costs to reflect the following ABC cost information:


Under the revised ABC system, supervision costs allocated to Sweatshirts will be ________. (Do not round interim calculations. Round the final answer to the nearest whole dollar.)

• A) $52,920
• B) $104,800
• C) $123,480
• D) None of these answers are correct.

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Definitions:

Productivity Increased

A measure indicating an enhancement in the efficiency of production, often resulting in more output with the same amount of input.

Materials Flow In

Refers to the movement of raw materials into an organization for production or manufacturing processes.

Sustainable Supply Chain

A supply chain designed to minimize environmental impact and promote social and economic benefits throughout its lifecycle.

Material Flows

The movement, storage, and processing of materials within a manufacturing process or supply chain, from raw materials to finished products.