Mirkle Corporation Uses the Following Activity Rates from Its Activity-Based

question 59

Multiple Choice

Mirkle Corporation uses the following activity rates from its activity-based costing to assign overhead costs to products: $\begin{array}{llr}\text { Activity Cost Pools }&\text { Activity Rate }\\\text { Assembling products } & \$ 6.56 \text { per assembly hour } \\\text { Processing customer orders } & \$ 65.38 \text { per customer order } \\\text { Setting up batches } & \$ 82.84 \text { per batch }\end{array}$

Data for one of the company's products follow:

$\begin{array} { l l l } & & \text { Product P59G } \\ \text { Number of assembly hours } & 240 & \\ \text { Number of customer orders } & 48 & \\ \text { Number of batches } & 64 \end{array}$
-How much overhead cost would be assigned to Product P59G using the activity-based costing system?

• A) $54,482.56
• B) $5,301.76
• C) $10,014.40
• D) $3,138.24
• E) $154.78

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