Pedroni Corporation Uses Activity-Based Costing to Compute Product Margins

question 138

Multiple Choice

Pedroni Corporation uses activity-based costing to compute product margins. Overhead costs have already been allocated to the company's three activity cost pools-Machining, Order Filling, and Other. The costs in those activity cost pools appear below: 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: Finally, sales and direct cost data are combined with Machining and Order Filling costs to determine product margins.
-What is the overhead cost assigned to Product F2 under activity-based costing?

• A)$10,000
• B)$3,075
• C)$12,413
• D)$9,338

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Definitions:

Non-Linguistic Accompaniment

Components of communication other than spoken language, including gestures, facial expressions, and other body language, that complement or enhance the message.

Paralanguage

The non-linguistic accompaniments of speech such as stress, pitch, speed, tone, pauses.

Gestures

Meaningful body movements and postures.

Facial Muscle Activity

Movements of the muscles in the face that are often analyzed to understand emotions and expressions.