Hails Corporation manufactures two products: Product Q21F and Product H44W. The company uses a plantwide overhead rate based on direct labor-hours. It is considering implementing an activity-based costing (ABC) system that allocates its manufacturing overhead to four cost pools. The following additional information is available for the company as a whole and for Products Q21F and H44W.
A) 26.71%
B) 50.00%
C) 34.18%
D) 60.89%

Question

Hails Corporation manufactures two products: Product Q21F and Product H44W. The company uses a plantwide overhead rate based on direct labor-hours. It is considering implementing an activity-based costing (ABC) system that allocates its manufacturing overhead to four cost pools. The following additional information is available for the company as a whole and for Products Q21F and H44W. 
A) 26.71% 
B) 50.00% 
C) 34.18% 
D) 60.89%

Quizplus · Accepted Answer

The Answer of Hails Corporation manufactures two products: Product Q21F and Product H44W. The company uses a plantwide overhead rate based on direct labor-hours. It is considering implementing an activity-based costing (ABC) system that allocates its manufacturing overhead to four cost pools. The following additional information is available for the company as a whole and for Products Q21F and H44W. 
A) 26.71% 
B) 50.00% 
C) 34.18% 
D) 60.89%

Hails Corporation Manufactures Two Products: Product Q21F and Product H44W