Brannon Company manufactures ceiling fans and uses an activity-based costing system.Each ceiling fan consists of twenty separate parts.The direct material cost is $95 and each ceiling fan requires 2.5 hours of machine time to manufacture.Additional information is as follows: What is the cost of assembling per ceiling fan?
A)$87.50
B)$7.00
C)$7.50
D)$35.00

Question

Brannon Company manufactures ceiling fans and uses an activity-based costing system.Each ceiling fan consists of twenty separate parts.The direct material cost is $95 and each ceiling fan requires 2.5 hours of machine time to manufacture.Additional information is as follows:  What is the cost of assembling per ceiling fan?
A)$87.50 
B)$7.00 
C)$7.50 
D)$35.00

Quizplus · Accepted Answer

The Answer of Brannon Company manufactures ceiling fans and uses an activity-based costing system.Each ceiling fan consists of twenty separate parts.The direct material cost is $95 and each ceiling fan requires 2.5 hours of machine time to manufacture.Additional information is as follows:  What is the cost of assembling per ceiling fan?
A)$87.50 
B)$7.00 
C)$7.50 
D)$35.00

Brannon Company Manufactures Ceiling Fans and Uses an Activity-Based Costing