Skagit Company manufactures Hooks and Nooks. The following shows the activities per product and total activity information: Units Setups Inspections Assembly (dlh) Hooks 4,000 3 1 Nooks 8,000 2 Activity Total Activity-Base Usage Budgeted Activity Cost Setups 20,000 $60,000 Inspections 24,000 120,000 Assembly (dlh) 28,000 420,000 The total factory overhead to be allocated to Nooks is Oa. S600,000 Ob. S400,000 Oc. S300,000 Od. 5488,000

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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Skagit Company manufactures Hooks and Nooks. The following shows the activities per product and total activity information:
Units
Setups
Inspections
Assembly (dlh)
Hooks
4,000
3
1
Nooks
8,000
2
Activity
Total Activity-Base Usage
Budgeted Activity Cost
Setups
20,000
$60,000
Inspections
24,000
120,000
Assembly (dlh)
28,000
420,000
The total factory overhead to be allocated to Nooks is
Oa. S600,000
Ob. S400,000
Oc. S300,000
Od. $488,000
Transcribed Image Text:Skagit Company manufactures Hooks and Nooks. The following shows the activities per product and total activity information: Units Setups Inspections Assembly (dlh) Hooks 4,000 3 1 Nooks 8,000 2 Activity Total Activity-Base Usage Budgeted Activity Cost Setups 20,000 $60,000 Inspections 24,000 120,000 Assembly (dlh) 28,000 420,000 The total factory overhead to be allocated to Nooks is Oa. S600,000 Ob. S400,000 Oc. S300,000 Od. $488,000
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