Sleep Tight Company manufactures pillows using an activity-based costing system. The following information is provided for the month of June: Each pillow consists of 4 parts, and the total direct materials cost per pillow is $3.50.
What is the total cost of packaging per pillow?

Question

Sleep Tight Company manufactures pillows using an activity-based costing system. The following information is provided for the month of June:  Each pillow consists of 4 parts, and the total direct materials cost per pillow is $3.50.
What is the total cost of packaging per pillow?

Quizplus · Accepted Answer

The question does not provide any information about the cost of packaging. Therefore, we cannot determine the total cost of packaging per pillow. The correct answer is to choose (D) which is "Insufficient information provided to determine the total cost of packaging per pillow".

Sleep Tight Company Manufactures Pillows Using an Activity-Based Costing System