A Company Has Two Products: AA and BB

question 91

Essay

A company has two products: AA and BB.It uses a plantwide overhead allocation method based on activity 33 and has prepared the following analysis showing budgeted costs and activities.Use this information to compute the company's plantwide overhead rate.
$\begin{array}{r}\text { Budgeted Activity }\quad\quad\quad\\\begin{array} { | l | c | r | r | r | } \hline & & { } \\ { \text { Activity Cost Pool } } & { \begin{array} { c } \text { Budgeted } \\\text { Overhead Cost }\end{array} } & \text { Product AA } & \text { Product BB } & { \text { Total } } \\\hline \text { Activity } 11 & \$ 40,000 & 100 & 400 & 500 \\\hline \text { Activity 22 } & \$ 55,000 & 500 & 250 & 750 \\\hline \text { Activity 33 } & \$ 90,000 & 300 & 1,700 & 2,000 \\\hline & & { } \\\hline \begin{array} { l } \text { Total budgeted } \\\text { overhead }\end{array} & \$ 185,000 & { } \\\hline\end{array}\end{array}$

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Definitions:

Modern Environmental Movement

Beginning in the 1960s, the second major stage of the environmental movement; focused on the environmental consequences of new technologies, oil exploration, chemical production, and nuclear power plants.

Conservation Era

A period in US history, notably the early 20th century, focused on the conservation and responsible management of natural resources.

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The practice of placing environmentally hazardous sites, such as toxic waste facilities, near minority or lower-income communities.

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The condition of being subjected to or affected by pollutants in the environment, which can lead to health hazards and ecological damage.