Arctic Crest Technologies developed an activity-based costing system for its "Welding" cost pool. The company expected total overhead costs of $240,000 and estimated 8,000 machine hours for this activity. The actual overhead incurred was $265,000 for 8,800 actual machine hours. What is the activity-based overhead rate (ABOR) used to assign the cost of the Welding cost pool to products? a. $30.00 per machine hour b. $32.50 per machine hour c. $33.13 per machine hour d. $35.00 per machine hour

Arctic Crest Technologies developed an activity-based costing system for its "Welding" cost pool. The company expected total overhead costs of $240,000 and estimated 8,000 machine hours for this activity. The actual overhead incurred was $265,000 for 8,800 actual machine hours. What is the activity-based overhead rate (ABOR) used to assign the cost of the Welding cost pool to products? a. $30.00 per machine hour b. $32.50 per machine hour c. $33.13 per machine hour d. $35.00 per machine hour

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter5: Process Costing

Section: Chapter Questions

Problem 2PB: The following product costs are available for Kellee Company on the production of eyeglass frames:...

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