Grandolfo Corporation Uses an Activity-Based Costing System with Three Activity

question 108

Multiple Choice

Grandolfo Corporation uses an activity-based costing system with three activity cost pools. The company has provided the following data concerning its costs and its activity based costing system: How much cost, in total, would be allocated in the first-stage allocation to the Other activity cost pool?

• A)$168,000
• B)$182,000
• C)$128,000
• D)$192,000

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Definitions:

Visa Card

A branded payment card that allows users to make transactions electronically, withdrawing funds from the cardholder's account.

Company Check

A company check is a check issued by a business from its own account to pay for goods, services, or obligations.

Withdrawals

Amounts of money taken out from a business by its owners for personal use, reducing the owner's equity.

Parasympathetic Nerve

Nerves of the parasympathetic nervous system that help slow down the body's activity and allow the body to rest and digest.