Figure 4-11 Yang Manufacturing Company manufactures two products (A and B).The overhead costs ($58,000) have been divided into three cost pools that use the following activity drivers:

- Refer to Figure 4-11.What is the allocation rate per order using ABC?

Question

Figure 4-11 Yang Manufacturing Company manufactures two products (A and B).The overhead costs ($58,000) have been divided into three cost pools that use the following activity drivers:

- Refer to Figure 4-11.What is the allocation rate per order using ABC?

Quizplus · Accepted Answer

The allocation rate per order using Activity-Based Costing (ABC) is calculated based on the specific cost drivers and activities associated with processing an order. In this case, $400 is the correct allocation rate per order.

Figure 4-11 Yang Manufacturing Company Manufactures Two Products (A and B).The