Hamilton, a decorative wall clock manufacturer uses activity-based costing. Each clock consists of 20 separate parts totaling $95 in direct materials, andrequires 2.5 hours of machine time to produce. Additional information is as follows:ActivityMaterials handling Number of partsMachiningMachine hoursNumber of partsAssemblingPackagingNumber of finished clocksWhat is the cost of assembling per clock?Multiple Choice$7.50.$87.50.Allocation Base$35.00.Cost Allocation Rate$ 0.087.200.352.70

Cost per unit is the amount of cost incurred on the making of each unit of the product. It includes…

Hamilton, a decorative wall clock manufacturer uses activity-based costing. Each clock consists of 20 separate parts totaling $95 in direct materials, and requires 2.5 hours of machine time to produce. Additional information is as follows: Activity Allocation Base Materials handling Number of parts Machining Machine hours Number of parts Number of finished clocks Assembling Packaging What is the cost of assembling per clock? Cost Allocation Rate $ 0.08 7.20 0.35 2.70

Hamilton, a decorative wall clock manufacturer uses activity-based costing. Each clock consists of 20 separate parts totaling $95 in direct materials, and requires 2.5 hours of machine time to produce. Additional information is as follows: Activity Allocation Base Materials handling Number of parts Machining Machine hours Number of parts Number of finished clocks Assembling Packaging What is the cost of assembling per clock? Cost Allocation Rate $ 0.08 7.20 0.35 2.70

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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