Bennette Corporation has provided the following data concerning its overhead costs for the coming year: Wages and salaries $ 350,000 Depreciation 125,000 Rent 145,000 Total $ 620,000 The company has an activity-based costing system with the following three activity cost pools and estimated activity for the coming year: Activity Cost Pool Total Activity Assembly 35,000 labor-hours Order processing 450 orders Other Not applicable The Other activity cost pool does not have a measure of activity; it is used to accumulate costs of idle capacity and organization-sustaining costs. The distribution of resource consumption across activity cost pools is given below: Activity Cost Pools Assembly Order Processing Other Total Wages and salaries 35% 30% 35% 100% Depreciation 10% 40% 50% 100% Rent 30% 25% 45% 100% The activity rate for the Order Processing activity cost pool is closest to.
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Bennette Corporation has provided the following data concerning its overhead costs for the coming ye...
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