Vintage Fun Reproduces Old-Fashioned Style Roller Skates and Skateboards

question 177

Multiple Choice

Vintage Fun reproduces old-fashioned style roller skates and skateboards. The annual production and sales of roller skates is 950 units, while 1,750 skateboards are produced and sold. The company has traditionally used direct labor hours to allocate its overhead to products. Roller skates require 2.5 direct labor hours per unit, while skateboards require 1.25 direct labor hours per unit. The total estimated overhead for the period is $114,300. The company is looking at the possibility of changing to an activity-based costing system for its products. If the company used an activity-based costing system, it would have the following three activity cost pools: The cost pool activity rate for Engineering Costs would be closest to

• A)$15.00 per engineering hour.
• B)$10.00 per engineering hour.
• C)$20.00 per engineering hour.
• D)$7.54 per engineering hour.

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Definitions:

Repressed Thoughts

Repressed thoughts are memories or thoughts that have been unconsciously avoided or forgotten, often because they are associated with negative emotions or trauma.

Biological Model

A perspective in psychiatry and psychology that attributes psychological disorders to biological factors, such as genetic inheritance, neurotransmitter levels, and brain structure anomalies.

Psychological Disorders

Mental disorders characterized by patterns of behavior or thought that are significantly deviant, distressing, or dysfunctional.

Biological Model

A model in psychology that explains psychological phenomena in terms of biological factors, such as genetic influence, brain structures, and neurochemical processes.