Figurski Corporation Uses Activity-Based Costing to Assign Overhead Costs to Products

question 71

Multiple Choice

Figurski Corporation uses activity-based costing to assign overhead costs to products. Overhead costs have already been allocated to the company's three activity cost pools as follows: Machining, $38,500; Order Filling, $23,000; and Other, $15,500. Machining costs are assigned to products using machine-hours (MHs) and Order Filling costs are assigned to products using the number of orders. The costs in the Other activity cost pool are not assigned to products. Activity data appear below:
-The activity rate for the Order Filling activity cost pool under activity-based costing is closest to:

• A)$23.00 per order
• B)$77.00 per order
• C)$1.00 per order
• D)$3.33 per order

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Definitions:

Muscle Contraction

The activation of tension-generating sites within muscle fibers, essential for body movement and posture support.

Constant Force

A steady force applied over a period of time in physics or engineering, often in contrast to varying forces.

Free Weights

Exercise equipment like dumbbells or barbells that are not attached to other devices, offering a wide range of motion for strength training.

Labile Surface

An unstable or changeable surface used in training and rehabilitation to improve balance and muscle strength.