Tango Company produces and sells two products, Alpha and Zeta. The following information is available relating to its setup activitie A) B) Units produced Batch size (units) Total direct labor hours 7,000 118,000 Cost per setup $ 7,000 $ 7,000 Use of activity-based costing would allocate the following amounts of setup cost to each unit: (Rounded to the nearest cent.) Alpha $ 175.00 $ 438.00 $ 12.92 $83.00 $9.00 Zeta $11.67 $963.14 Alpha $ 13.00 $ 20.00 11 Zeta 66,000 600 800 40

FINANCIAL ACCOUNTING
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Author:Libby
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Chapter1: Financial Statements And Business Decisions
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Tango Company produces and sells two products, Alpha and Zeta. The following information is available relating to its setup activities:
ABODO
Units produced
Batch size (units)
Total direct labor hours
7,000
Cost per setup
$ 7,000
Use of activity-based costing would allocate the following amounts of setup cost to each unit: (Rounded to the nearest cent.)
A)
B)
C)
D)
E)
Alpha
$ 175.00
$ 438.00
$ 12.92
$83.00
$9.00
Multiple Choice
Option A
Option B
Option C
Option D
Option E
Alpha
Zeta
$ 11.67
$963.14
$ 13.00
$ 20.00
$ 0.11
Zeta
66,000
600
800
40
118,000
$ 7,000
Transcribed Image Text:Tango Company produces and sells two products, Alpha and Zeta. The following information is available relating to its setup activities: ABODO Units produced Batch size (units) Total direct labor hours 7,000 Cost per setup $ 7,000 Use of activity-based costing would allocate the following amounts of setup cost to each unit: (Rounded to the nearest cent.) A) B) C) D) E) Alpha $ 175.00 $ 438.00 $ 12.92 $83.00 $9.00 Multiple Choice Option A Option B Option C Option D Option E Alpha Zeta $ 11.67 $963.14 $ 13.00 $ 20.00 $ 0.11 Zeta 66,000 600 800 40 118,000 $ 7,000
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