Brannon Company manufactures ceiling fans and uses an activity-based costing system. Each ceiling fan consists of 20 separate parts. The direct material cost is $95 and each ceiling fan requires 2.5 hours of machine time to manufacture. There is no direct labor cost. Additional information is as follows: What is the total manufacturing cost per ceiling fan?
A)$125.75
B)$121.13
C)$115.32
D)$124.30

Question

Brannon Company manufactures ceiling fans and uses an activity-based costing system. Each ceiling fan consists of 20 separate parts. The direct material cost is $95 and each ceiling fan requires 2.5 hours of machine time to manufacture. There is no direct labor cost. Additional information is as follows:  What is the total manufacturing cost per ceiling fan?
A)$125.75 
B)$121.13 
C)$115.32 
D)$124.30

Quizplus · Accepted Answer

The Answer of Brannon Company manufactures ceiling fans and uses an activity-based costing system. Each ceiling fan consists of 20 separate parts. The direct material cost is $95 and each ceiling fan requires 2.5 hours of machine time to manufacture. There is no direct labor cost. Additional information is as follows:  What is the total manufacturing cost per ceiling fan?
A)$125.75 
B)$121.13 
C)$115.32 
D)$124.30

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