XYZ has provided the following data from its activity-based costing system: Activity Cost Pool Total Cost Total Activity Assembly $ 228,060 18,000 machine-hours Processing orders $ 34,068 1,600 orders Inspection $ 125,560 1.720 inspection hours

FINANCIAL ACCOUNTING
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Author:Libby
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Chapter1: Financial Statements And Business Decisions
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XYZ has provided the following data from its activity-based costing system:
Activity Cost Pool
Total Cost
Total Activity
Assembly
$ 228,060
18,000 machine-hours
Processing orders
$ 34,068
1,600 orders
Inspection
$ 125,560
1,720 inspection hours
The company makes 420 units of product YBY a year, requiring a total of 460 machine-hours, 80 orders, and 10 inspection
hours per year. The product's direct materials cost is $48.96 per unit and its direct labor cost is $25.36 per unit.
According to the activity-based costing system, the average cost of product YBY is closest to:
O a. $94.26 per unit
O b. None of the given answer is correct.
Oc $94.00 per unit
O d. $95.77 per unit
O e $93.99 per unit
CLEAR MY CHOICE
Transcribed Image Text:XYZ has provided the following data from its activity-based costing system: Activity Cost Pool Total Cost Total Activity Assembly $ 228,060 18,000 machine-hours Processing orders $ 34,068 1,600 orders Inspection $ 125,560 1,720 inspection hours The company makes 420 units of product YBY a year, requiring a total of 460 machine-hours, 80 orders, and 10 inspection hours per year. The product's direct materials cost is $48.96 per unit and its direct labor cost is $25.36 per unit. According to the activity-based costing system, the average cost of product YBY is closest to: O a. $94.26 per unit O b. None of the given answer is correct. Oc $94.00 per unit O d. $95.77 per unit O e $93.99 per unit CLEAR MY CHOICE
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