The Other Activity Cost Pool Is Used to Accumulate Costs

question 43

Multiple Choice

The Other activity cost pool is used to accumulate costs of idle capacity and organization-sustaining costs.
The company has provided the following data concerning its costs: The distribution of resource consumption across activity cost pools is given below: The activity rate for the Order Processing activity cost pool is closest to:
A.$1,050 per order
B.$1,680 per order
C.$1,190 per order
<underLine>D.</underLine> $1,350 per order
Total Order Processing Cost:
-Activity rates from Hample Corporation's activity-based costing system are listed below.The company uses the activity rates to assign overhead costs to products: Last year,Product J27W involved 30 customer orders,152 assembly hours,and 54 batches.How much overhead cost would be assigned to Product J27W using the activity-based costing system?

• A)$24,702.12
• B)$5,419.38
• C)$4,634.28
• D)$104.67

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Definitions:

Skilled Employee Technicians

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