Pasternik Company produces and sells two products, Alpha and Zeta. The following information is available relating to its setup activities: Alpha Zeta Units produced 750 81,000 Batch size (units) 50 900 Total direct labor hours 7,000 115,000 Cost per setup $ 7,000 $ 7,000 With a volume-based costing system that applies overhead based on direct labor hours, the setup cost portion of overhead for each unit is: (Round intermediate calculations and your final answers to the nearest cent.) Alpha Zeta A) $ 6.02 $ 6.02 B) $ 56.19 $ 8.55 C) $ 9.30 $ 0.10 D) $ 28.27 $ 28.27 E) $ 145.19 $ 51.94

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Self-interest achieve society’s economic goals because producers know which goods consumers want the most. as consumers and producers exercise their freedom to act in their own self-interest, markets will produce the desired goods at the lowest possible cost. consumers and producers both operate based on society’s economic goals. consumers know which goods can be produced at the lowest cost. there is a wide variety of desired goods and services in a market system because producers determine what to produce. consumers change their minds frequently. there is always a need to produce something new and improved. individual wants are diverse. what is produced is ultimately determined by consumers, because if the goods offered are not what consumers want, consumers will not buy them. producers, because they are driven by profits. producers, because they determine what to produce. consumers, because they participate in marketing surveys.

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