Figure 4-21 Appleby Manufacturing Uses an Activity-Based Costing System

question 31

Multiple Choice

Figure 4-21 Appleby Manufacturing uses an activity-based costing system. The company produces Model F and Model G. Information relating to the two products is as follows: The following overhead costs are reported for the following activities of the production process:
Jones manufacturing has used activity based costing to assign costs to Models F and G as given in the table below:
Appleby Manufacturing wants to implement an approximately relevant ABC system by using the two most expensive activities for cost assignment.
Refer to Figure 4-21. Under this new approach, what cost would be assigned to the labor related cost pool?

• A) 0
• B) $120,000
• C) $255,000
• D) $315,000

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Definitions:

Interpretation

The act of explaining, reframing, or giving meaning to a particular piece of information, text, or art.

Morley's Study

Refers to research by David Morley, focusing on audience reception and the decoding of media messages, often highlighting variations in interpretation based on social and cultural contexts.

British Families

Households or kinship groups in the United Kingdom, characterized by their diverse structures and cultural traditions.

Waste Of Time

describes activities or endeavors considered unproductive or lacking in value, contributing no meaningful outcome.