Matis Corporation's Activity-Based Costing System Has Three Activity Cost Pools-Fabricating

question 131

Essay

Matis Corporation's activity-based costing system has three activity cost pools-Fabricating, Setting Up, and Other. Costs in the Fabricating cost pool are assigned to products based on machine-hours (MHs) and costs in the Setting Up cost pool are assigned to products based on the number of batches. Costs in the Other cost pool are not assigned to products. The activity rate for Fabricating is $1.08 per MH; the activity rate for Setting Up is $5.20 per batch. The following table shows the machine-hours and number of batches associated with each of the company's two products: Required:
Determine the amount of overhead cost that would be assigned to each product using activity-based costing.

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Definitions:

Education

The process of facilitating learning, or the acquisition of knowledge, skills, values, beliefs, and habits through various methods.

Non-Europeans

Individuals or peoples not originating from or associated with European countries or cultures.

Cultural Relativism

A perspective in anthropology and ethics that posits all cultures have their own values and norms, which are not inherently superior or inferior to those of other cultures.

Equal Value

The principle that all people, regardless of their personal characteristics, should be treated with the same respect and dignity, acknowledging their worth as individuals.