Activity Cost II Supplier Data -Refer to Tigra Company

question 58

Multiple Choice

Activity Cost $$\begin{array} { l l } \text { Inspecting comp onents (sampling only) } & \$ 190,000 \\\text { Reworking products (due to failed component) } & \$ 2,254,000 \\\text { Warranty work (due to failed component) } & \$ 1,723,000\end{array}$$ II. Supplier Data $\begin{array}{lrr}&\text { Supplier } 1 &\text { Supplier } 2\\\text { Units Purchase Price } & \$ 10.00 & \$ 8.95 \\\text { Units Purchased } & 22,500 & 52,500 \\\text { Sampling Hours } & 50 & 2,450 \\\text { Rework Hours } & 135 & 3,625 \\\text { Warranty Hours } & 475 & 6,000\end{array}$
-Refer to Tigra Company. What is the activity rate for reworking products on the basis of rework hours?

• A) $595 per hour
• B) $599 per hour
• C) $602 per hour
• D) $605 per hour

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Definitions:

Operant Conditioning

Learning that results from rewarding or reinforcing a particular behavior.

Genetics

The branch of biology that studies genes, genetic variation, and heredity in organisms, explaining how traits are passed from parents to offspring.

Environment

The surroundings or conditions in which an organism lives or operates.

Sensitive Period

A specific time in an organism's development when it is particularly receptive to certain environmental stimuli or experiences.