Culver,Inc.produces two different products (Product V3 and Product G8)using two different activities: Machining,which uses machine hours as an activity driver,and Inspection,which uses number of batches as an activity driver.The activity drivers are used as follows: The activity rate for Machining is $67.50 per machine hour.What is the total cost of Machining?
A)$274,050
B)$67,500
C)$202,500
D)$270,000

Question

Culver,Inc.produces two different products (Product V3 and Product G8)using two different activities: Machining,which uses machine hours as an activity driver,and Inspection,which uses number of batches as an activity driver.The activity drivers are used as follows:  The activity rate for Machining is $67.50 per machine hour.What is the total cost of Machining?
A)$274,050 
B)$67,500 
C)$202,500 
D)$270,000

Quizplus · Accepted Answer

The Answer of Culver,Inc.produces two different products (Product V3 and Product G8)using two different activities: Machining,which uses machine hours as an activity driver,and Inspection,which uses number of batches as an activity driver.The activity drivers are used as follows:  The activity rate for Machining is $67.50 per machine hour.What is the total cost of Machining?
A)$274,050 
B)$67,500 
C)$202,500 
D)$270,000