Kulka Corporation manufactures two products: Product F82D and Product T05P. 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 F82D and T05P.
Using the ABC system, how much total manufacturing overhead cost would be assigned to Product T05P?
A) $156,000
B) $303,000
C) $147,000
D) $304,500
Correct Answer:
Verified
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