A company identified the following partial list of activities, costs, and activity drivers expected for the next year: Activity Extrusion costs Handling costs Packaging costs Production volume Batches made Expected Costs $ 83,600 $ 8,800 Cost Driver Number batches made Number of orders filled $ 40,500 Number of units made Product A Product B 750,000 units 600,000 units 200 batches 75 750 batches 200 Orders filled How much overhead in total will be assigned to the Product A line using activity-based costing? Select one: O a. $132,900. O b. $42,500. O c. $66,450. O d. $90,400. O e. $66,000.
A company identified the following partial list of activities, costs, and activity drivers expected for the next year: Activity Extrusion costs Handling costs Packaging costs Production volume Batches made Expected Costs $ 83,600 $ 8,800 Cost Driver Number batches made Number of orders filled $ 40,500 Number of units made Product A Product B 750,000 units 600,000 units 200 batches 75 750 batches 200 Orders filled How much overhead in total will be assigned to the Product A line using activity-based costing? Select one: O a. $132,900. O b. $42,500. O c. $66,450. O d. $90,400. O e. $66,000.
Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter2: Basic Managerial Accounting Concepts
Section: Chapter Questions
Problem 39E: Cost Classification Loring Company incurred the following costs last year: Required: 1. Classify...
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Question
![A company identified the following partial list of activities, costs, and activity drivers expected for the next year:
Activity
Extrusion costs
Handling costs
Packaging costs
Production volume
Batches made
Expected Costs
$ 83,600
$ 8,800
Cost Driver
Number batches made
Number of orders filled
$ 40,500
Number of units made
Product A
Product B
750,000 units
600,000 units
200 batches
75
750 batches
200
Orders filled
How much overhead in total will be assigned to the Product A line using activity-based costing?
Select one:
O a. $132,900.
O b. $42,500.
O c. $66,450.
O d. $90,400.
O e. $66,000.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F7c50c3e9-ca11-4971-8689-ce4b669868b1%2F49ef6d34-79aa-442c-977b-a9dd0a7e5f48%2F0ry0yn_processed.jpeg&w=3840&q=75)
Transcribed Image Text:A company identified the following partial list of activities, costs, and activity drivers expected for the next year:
Activity
Extrusion costs
Handling costs
Packaging costs
Production volume
Batches made
Expected Costs
$ 83,600
$ 8,800
Cost Driver
Number batches made
Number of orders filled
$ 40,500
Number of units made
Product A
Product B
750,000 units
600,000 units
200 batches
75
750 batches
200
Orders filled
How much overhead in total will be assigned to the Product A line using activity-based costing?
Select one:
O a. $132,900.
O b. $42,500.
O c. $66,450.
O d. $90,400.
O e. $66,000.
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