Business, 14.03.2020 05:29 ultimatesaiyan
Olmo, Inc., manufactures and sells two products: Product KO and Product H9. The annual production and sales of Product of KO are 600 units and of Product, H9 is 600 units. The company has an activity-based costing system with the following activity cost pools, activity measures, and expected activity:
Activity cost pools Activity measures Estimated Overhead cost Product Ko Product H9 Total
Labor-related DLHS $550,708 4,800 2,400 7,200
product ordres oders 53,719 700 200 900
Order size MHS 836,316 2,900 3,600 6,500
$1,440,743
The overhead applied to each unit of Product H9 under activity-based costing is closest to:
a. $1,097.82 per unit
b. $77196 per unit
c. $600.31 per unit
d. $305.96 per unit
Answers: 1
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Olmo, Inc., manufactures and sells two products: Product KO and Product H9. The annual production an...
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