The accounting records of East Co. provide the following activity-based costing information: Activity Total Costs Department Department Department Department A B C D Part $500,000 3,000 units 6,500 units 2,500 units 8,000 units fabrication Assembly 2,300 hours 2,700 hours 1,000 hours 4,000 hours Testing $50,000 $150,000 700 runs 1,300 runs 600 runs 2,400 runs Total $700,000 costs How much of the total costs will be assigned to Department D? O $175,000 $292,000 $238,000 O $144,000

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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The accounting records of East Co. provide the following activity-based costing
information:
Activity
Total
Costs
Department Department Department Department
A
B
C
D
Part
$500,000 3,000 units 6,500 units 2,500 units 8,000 units
fabrication
Assembly
2,300 hours 2,700 hours 1,000 hours 4,000 hours
Testing
$50,000
$150,000 700 runs 1,300 runs
600 runs
2,400 runs
Total
$700,000
costs
How much of the total costs will be assigned to Department D?
O $175,000
$292,000
$238,000
O $144,000
Transcribed Image Text:The accounting records of East Co. provide the following activity-based costing information: Activity Total Costs Department Department Department Department A B C D Part $500,000 3,000 units 6,500 units 2,500 units 8,000 units fabrication Assembly 2,300 hours 2,700 hours 1,000 hours 4,000 hours Testing $50,000 $150,000 700 runs 1,300 runs 600 runs 2,400 runs Total $700,000 costs How much of the total costs will be assigned to Department D? O $175,000 $292,000 $238,000 O $144,000
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