Tesh,Inc. ,manufactures and sells two products: Product P9 and Product I9.Data concerning the expected production of each product and the expected total direct labor-hours (DLHs) required to produce that output appear below:
The company is considering adopting an activity-based costing system with the following activity cost pools,activity measures,and expected activity:
The activity rate for the Labor-Related activity cost pool under activity-based costing is closest to:
A) $214.40 per DLH
B) $1,041.27 per DLH
C) $142.93 per DLH
D) $18.72 per DLH
Correct Answer:
Verified
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