Use the Information Below to Answer the Following Question(s)

question 88

Multiple Choice

Use the information below to answer the following question(s) :
Martin Corporation manufactures two products-Plows and Harrows. The annual production and sales of Plows is 1,000 units, while 2,000 units of Harrows are produced and sold. The company has traditionally used direct labour hours to allocate its overhead to products. Plows require 5.0 direct labour hours per unit, while Harrows require 2.0 direct labour hours per unit. The total estimated overhead for the period is $603,500. 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:
Expected Activity

-The overhead cost per plow using an activity-based costing system would be closest to

• A) $216.00.
• B) $201.00.
• C) $112.17.
• D) $349.17.

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Definitions:

Bar Chart

A graphical representation of data using bars of different lengths or heights to compare values across categories.

Chart Style

A predefined set of visual attributes, such as color and font, applied to charts to ensure consistency and improve readability.

Add Axis Titles

A feature in charting tools that allows users to insert descriptive labels for the X-axis and Y-axis in graphs.

Data Labels

Text or numerical indicators used in charts or graphs to describe the data being displayed, making it easier to understand.