Answer the following questions using the information below:
Mayan Potters manufactures two sizes of ceramic paperweights, regular and jumbo. The following information applies to their expectations for the planning period:
Mayan Potters uses an ABC system and assigns overhead costs based on the overhead activity information provided above.
-The activity-cost driver for the materials handling activity is:
A)orders
B)maintenance hours
C)production units
D)setups

Question

Answer the following questions using the information below:
Mayan Potters manufactures two sizes of ceramic paperweights, regular and jumbo. The following information applies to their expectations for the planning period:
   Mayan Potters uses an ABC system and assigns overhead costs based on the overhead activity information provided above.
-The activity-cost driver for the materials handling activity is:
A)orders 
B)maintenance hours 
C)production units 
D)setups

Quizplus · Accepted Answer

The activity-cost driver for materials handling is typically the number of orders, as this activity involves the movement of materials to and from inventory based on customer orders.

Answer the Following Questions Using the Information Below