Abbe Company uses activity-based costing. The company has two products: A and B. The annual production and sales of Product A is 2,100 uni Product B is 1,200 units. There are three activity cost pools, with estimated costs and expected activity as follows: Estimated Expected Activity Overhead Activity Cost Pools Activity 1 Cost Product A Product B Total Activity 2 Activity 3 $60,791 $83,421 $97,442 1,600 2,600 1,500 1,300 3,100 3,900 1,660 840 820 The overhead cost per unit of Product B is closest to: (Round your intermediate calculations to 2 decimal places.) Multiple Choice
Abbe Company uses activity-based costing. The company has two products: A and B. The annual production and sales of Product A is 2,100 uni Product B is 1,200 units. There are three activity cost pools, with estimated costs and expected activity as follows: Estimated Expected Activity Overhead Activity Cost Pools Activity 1 Cost Product A Product B Total Activity 2 Activity 3 $60,791 $83,421 $97,442 1,600 2,600 1,500 1,300 3,100 3,900 1,660 840 820 The overhead cost per unit of Product B is closest to: (Round your intermediate calculations to 2 decimal places.) Multiple Choice
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![Abbe Company uses activity-based costing. The company has two products: A and B. The annual production and sales of Product A is 2,100 units and of
Product B is 1,200 units. There are three activity cost pools, with estimated costs and expected activity as follows:
Estimated
Expected Activity
Overhead
Activity Cost Pools
Activity 1
Activity 2
Activity 3
Cost
Product A Product B
Total
$60,791
$83,421
1,600
2,600
1,500
1,300
3,100
3,900
$97,442
840
820
1,660
The overhead cost per unit of Product B is closest to: (Round your intermediate calculations to 2 decimal places.)
Multiple Choice
$63.47
$87.80
$33 99](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F793c3fb1-9dd3-4c58-ac3c-47d2ab322c0e%2F400bf912-cc04-4516-955a-d591f24be2c7%2Foe3njg7_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Abbe Company uses activity-based costing. The company has two products: A and B. The annual production and sales of Product A is 2,100 units and of
Product B is 1,200 units. There are three activity cost pools, with estimated costs and expected activity as follows:
Estimated
Expected Activity
Overhead
Activity Cost Pools
Activity 1
Activity 2
Activity 3
Cost
Product A Product B
Total
$60,791
$83,421
1,600
2,600
1,500
1,300
3,100
3,900
$97,442
840
820
1,660
The overhead cost per unit of Product B is closest to: (Round your intermediate calculations to 2 decimal places.)
Multiple Choice
$63.47
$87.80
$33 99
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