Studler Corporation Has an Activity-Based Costing System with Three Activity

question 68

Multiple Choice

Studler Corporation has an activity-based costing system with three activity cost pools-Processing, Supervising, and Other.In the first stage allocations, costs in the two overhead accounts, equipment expense and indirect labor, are allocated to the three activity cost pools based on resource consumption.Data used in the first stage allocations follow: Processing costs are assigned to products using machine-hours (MHs) and Supervising costs are assigned to products using the number of batches.The costs in the Other activity cost pool are not assigned to products.Activity data for the company's two products follow: What is the overhead cost assigned to Product R6 under activity-based costing?

• A)$44, 000
• B)$60, 900
• C)$18, 145
• D)$42, 755

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Definitions:

Ligaments

Tough, fibrous connective tissues that connect bones to other bones in the body, providing stability to joints.

Cartilage

A flexible, connective tissue found in various parts of the body, including joints, ear structure, and nose, providing support and cushioning.

Static Stretching

A form of stretching exercises in which individuals extend their muscles to the fullest length and hold the position for several seconds or longer to increase flexibility.

Ballistic Stretching

A method of stretching that involves quick, bouncing movements to push the body parts beyond their usual range of motion, increasing flexibility.