Benjamin Company manufactures a wide variety of products and uses an activity-based costing system. Data from its activity-based costing system for all products follows: What is the engineering cost pool rate per engineering hour?
A)$12
B)$28
C)$47
D)$83

Question

Benjamin Company manufactures a wide variety of products and uses an activity-based costing system. Data from its activity-based costing system for all products follows:  What is the engineering cost pool rate per engineering hour?
A)$12 
B)$28 
C)$47 
D)$83

Quizplus · Accepted Answer

To calculate the engineering cost pool rate, we need to divide the total cost ($326,700) by the total number of engineering hours (11,700). This gives us a rate of $28 per engineering hour.

Benjamin Company Manufactures a Wide Variety of Products and Uses