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Ace, Inc Has Three Activity Pools Which Have the Following Costs

Question 33

Multiple Choice

Ace, Inc. has three activity pools which have the following costs:
 Machine Setups $15,000 Material Moves $22,000 Machine Operations $14,000\begin{array} { l l } \text { Machine Setups } & \$ 15,000 \\\text { Material Moves } & \$ 22,000 \\\text { Machine Operations } & \$ 14,000\end{array} The activity cost drivers (and driver quantity) for the three pools are, respectively, number of setups (100) , number of material moves (220) , and number of machine hours (175) .
Product G10 used the following quantity of activity drivers to produce 100 units of final product:
?12 setups
?20 material moves, and
?32 machine hours.
The total ABC cost and unit ABC cost assigned to Product G10 is:


A) $ 3,630 total ABC cost and $ 36.30 unit ABC cost
B) $10,300 total ABC cost and $103.00 unit ABC cost
C) $ 6,360 total ABC cost and $ 63.60 unit ABC cost
D) $ 3,300 total ABC cost and $330.00 unit ABC cost

Correct Answer:

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