Lindsay Company uses activity-based costing to figure product cost.Three activities have been determined and rate calculated.
Lindsay provided the following data from the job order cost sheet for Job #550.
$\begin{array}{ll}
\text { Setting up equipment } & =\$ 500 \text { per setup } \
\text { Moving goods } & =\$ 20 \text { per move } \
\text { Machining } & =\$ 4 \text { per machine hour }
\end{array}$ $$\begin{array} { l r }
\text { Direct materials } & \$ 2,000 \
\text { Direct labour } & 1,800 \
\text { Setups } & 1 \
\text { Moves } & 30 \
\text { Machine hours } & 900
\end{array}$$

Question

Lindsay Company uses activity-based costing to figure product cost.Three activities have been determined and rate calculated.
Lindsay provided the following data from the job order cost sheet for Job #550.
 $\begin{array}{ll}
\text { Setting up equipment } & =\$ 500 \text { per setup } \
\text { Moving goods } & =\$ 20 \text { per move } \
\text { Machining } & =\$ 4 \text { per machine hour }
\end{array}$ $$\begin{array} { l r } 
\text { Direct materials } & \$ 2,000 \
\text { Direct labour } & 1,800 \
\text { Setups } & 1 \
\text { Moves } & 30 \
\text { Machine hours } & 900
\end{array}$$

Quizplus · Accepted Answer

The Answer of Lindsay Company uses activity-based costing to figure product cost.Three activities have been determined and rate calculated.
Lindsay provided the following data from the job order cost sheet for Job #550.
 $\begin{array}{ll}
\text { Setting up equipment } & =\$ 500 \text { per setup } \
\text { Moving goods } & =\$ 20 \text { per move } \
\text { Machining } & =\$ 4 \text { per machine hour }
\end{array}$ $$\begin{array} { l r } 
\text { Direct materials } & \$ 2,000 \
\text { Direct labour } & 1,800 \
\text { Setups } & 1 \
\text { Moves } & 30 \
\text { Machine hours } & 900
\end{array}$$

Lindsay Company Uses Activity-Based Costing to Figure Product Cost