The distribution of resource consumption across activity cost pools is given below: ITU Activity Cost Pools Fabrication Order Processing 80% Other Total Wages and salaries. Depreciation . Occupancy.. 5% 15% 100% 15% 15% 10% 100% 25% 50% 25% 100% The activity rate for the Fabrication activity cost pool is closest to: A. $1.65 per machine-hour B. $4.00 per machine-hour C. $0.80 per machine-hour D. $2.40 per machine-hour

FINANCIAL ACCOUNTING
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Author:Libby
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Chapter1: Financial Statements And Business Decisions
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The distribution of resource consumption across activity cost pools is given below:
ITU
Activity Cost Pools
Fabrication Order Processing
80%
Other
Total
Wages and salaries.
Depreciation .
Occupancy..
5%
15%
100%
15%
15%
10%
100%
25%
50%
25%
100%
The activity rate for the Fabrication activity cost pool is closest to:
A. $1.65 per machine-hour
B. $4.00 per machine-hour
C. $0.80 per machine-hour
D. $2.40 per machine-hour
Transcribed Image Text:The distribution of resource consumption across activity cost pools is given below: ITU Activity Cost Pools Fabrication Order Processing 80% Other Total Wages and salaries. Depreciation . Occupancy.. 5% 15% 100% 15% 15% 10% 100% 25% 50% 25% 100% The activity rate for the Fabrication activity cost pool is closest to: A. $1.65 per machine-hour B. $4.00 per machine-hour C. $0.80 per machine-hour D. $2.40 per machine-hour
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