Alpha Company Manufactures Breadboxes and Uses an Activity-Based Costing System

question 123

Multiple Choice

Alpha Company manufactures breadboxes and uses an activity-based costing system. The following information is provided for the month of May: Each breadbox consists of 4 parts, and the direct materials cost per breadbox is $7.00. There is no direct labor. What is the total manufacturing cost per breadbox?

• A)$17.40
• B)$24.00
• C)$12.40
• D)$26.00

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