A company that uses an activity-based costing system provided the following data. Activity Cost Pool Assembly Processing orders Inspection Information for Product A is as follows: Annual unit production and sales Annual machine-hours Annual number of orders Annual inspection hours Direct materials cost Direct labor cost $91.15 per unit $130.30 per unit Total Cost $145.55 per unit $907,500 $64,430 $102,465 $123.93 per unit Total Activity 650 1,050 75 15 According to the activity-based costing system, the average cost of Product A is closest to: (Round your intermediate calculations to 2 decimal places.) $50.00 $41.15 55,000 machine-hours 1,700 orders 1,350 inspection-hours per unit per unit

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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A company that uses an activity-based costing system provided the following data.
Activity Cost Pool
Assembly
Processing orders
Inspection
Information for Product A is as follows:
Annual unit production and sales
Annual machine-hours
Annual number of orders
Annual inspection hours
Direct materials cost
Direct labor cost
$91.15 per unit
Total Cost
$130.30 per unit
$907,500
$64,430
$102,465
$145.55 per unit
$123.93 per unit
Total Activity
650
1,050
75
15
According to the activity-based costing system, the average cost of Product A is closest to:
(Round your intermediate calculations to 2 decimal places.)
$50.00
$41.15
55,000 machine-hours
1,700 orders
1,350 inspection-hours
per unit
per unit
Transcribed Image Text:A company that uses an activity-based costing system provided the following data. Activity Cost Pool Assembly Processing orders Inspection Information for Product A is as follows: Annual unit production and sales Annual machine-hours Annual number of orders Annual inspection hours Direct materials cost Direct labor cost $91.15 per unit Total Cost $130.30 per unit $907,500 $64,430 $102,465 $145.55 per unit $123.93 per unit Total Activity 650 1,050 75 15 According to the activity-based costing system, the average cost of Product A is closest to: (Round your intermediate calculations to 2 decimal places.) $50.00 $41.15 55,000 machine-hours 1,700 orders 1,350 inspection-hours per unit per unit
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