Please solve this one with calculation and explanation Matt Company uses activity-based costing. The company has two products: A and B. Theannual production and sales of Product A are 9.000 units, and of Product B is 7.500 units.There are three activity cost pools, with a total cost and total activity as follows:Total ActivityActivity Cost Pool Total CostProduct AProduct BTotalActivity 1$26,845240350590Activity 2$44,6259802101,190Activity 3$155,52087039904860The activity-based costing cost ore unit of Product A is closest to (Round yourintermediate calculations to 2 decimal places.)A. $8.39 per unitB. $3.19 per unitC. $14.38 per unitD. $3.89 per units

Step 1: Definition of Total Cost:The sum of every amount spent on producing goods and services is…

Answered: Matt Company uses activity-based…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter6: Activity-based, Variable, And Absorption Costing

Section: Chapter Questions

Problem 5PA: Medical Tape makes two products: Generic and Label. It estimates it will produce 423,694 units of...

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Rex Industries has two products. They manufactured 12,539 units of product A and 8.254 units of product B. The data are: What is the activity rate for each cost pool?
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need answer with given information please
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