LO 6.3Rex Industries has two products. They manufactured 12,539 units of product A and 8,254 units of product B. The data are: Activity in Cost Pool Estimated Overhead Product A Product B $45,900 67,300 25,200 1,000 200 1 500 800 3 600 5,400 I What is the activity rate for each cost pool?
LO 6.3Rex Industries has two products. They manufactured 12,539 units of product A and 8,254 units of product B. The data are: Activity in Cost Pool Estimated Overhead Product A Product B $45,900 67,300 25,200 1,000 200 1 500 800 3 600 5,400 I What is the activity rate for each cost pool?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:**Manufacturing Activity-Based Costing Example: Rex Industries**
Rex Industries has two products. They manufactured 12,539 units of product A and 8,254 units of product B. The data are:
| **Activity in Cost Pool** | **Estimated Overhead** | **Product A** | **Product B** |
|-----------------------------|--------------------------|------------------|------------------|
| 1 | $45,900 | 1,000 | 500 |
| 2 | 67,300 | 200 | 800 |
| 3 | 25,200 | 600 | 5,400 |
**Question:** What is the activity rate for each cost pool?
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