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Business, 17.07.2019 21:20 ella3714

The total factory overhead for norton company is budgeted for the year at $300,000, divided into three activities: assembly, $200,000; setup, $50,000; and materials handling, $150,000. norton manufactures two products: product a and product b. the activity-based usage quantities for each product by each activity are estimated as follows:
assembly setup materials handling
product a 2,000 dlh 8,000 dlh 5 setups
product b 10,000 dlh 24,000 dlh 15 setups
total activity-base usage 12,000 dlh 32,000 dlh 20 setups
determine the activity rate for the assembly activity.
a. $15.00
b. $16.67
c. $1.67
d. $25.00

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