Aboud, Inc., manufactures and sells two products: Product Q6 and Product Z7. Data concerning the expected production of each product and the expected total direct labor-hours (DLHs) required to produce that output appear below: The direct labor rate is $25.90 per DLH. The direct materials cost per unit for each product is given below: The company has an activity-based costing system with the following activity cost pools, activity measures, and expected activity: The activity rate for the General Factory activity cost pool under activity-based costing is closest to:
A)$75.14 per MH
B)$243.26 per MH
C)$30.38 per MH
D)$25.97 per MH

Question

Aboud, Inc., manufactures and sells two products: Product Q6 and Product Z7. Data concerning the expected production of each product and the expected total direct labor-hours (DLHs) required to produce that output appear below:  The direct labor rate is $25.90 per DLH. The direct materials cost per unit for each product is given below:  The company has an activity-based costing system with the following activity cost pools, activity measures, and expected activity:  The activity rate for the General Factory activity cost pool under activity-based costing is closest to:
A)$75.14 per MH 
B)$243.26 per MH 
C)$30.38 per MH 
D)$25.97 per MH

Quizplus · Accepted Answer

The Answer of Aboud, Inc., manufactures and sells two products: Product Q6 and Product Z7. Data concerning the expected production of each product and the expected total direct labor-hours (DLHs) required to produce that output appear below:  The direct labor rate is $25.90 per DLH. The direct materials cost per unit for each product is given below:  The company has an activity-based costing system with the following activity cost pools, activity measures, and expected activity:  The activity rate for the General Factory activity cost pool under activity-based costing is closest to:
A)$75.14 per MH 
B)$243.26 per MH 
C)$30.38 per MH 
D)$25.97 per MH