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Business, 13.02.2020 23:32 kyleee4473

Mirabile Corporation uses activity-based costing to compute product margins. Overhead costs have already been allocated to the company's three activity cost pools--Processing, Supervising, and Other. The costs in those activity cost pools appear below: Processing $ 5,520 Supervising $ 34,200 Other $ 12,000 Processing costs are assigned to products using machine-hours (MHs) and Supervising costs are assigned to products using the number of batches. The costs in the Other activity cost pool are not assigned to products. Activity data appear below: MHs (Processing) Batches (Supervising) Product M0 10,925 750 Product M5 575 750 Total 11,500 1,500 Finally, sales and direct cost data are combined with Processing and Supervising costs to determine product margins. Product M0 Product M5 Sales (total) $ 85,500 $ 97,900 Direct materials (total) $ 30,100 $ 33,000 Direct labor (total) $ 29,400 $ 43,300 What is the overhead cost assigned to Product M5 under activity-based costing?

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Mirabile Corporation uses activity-based costing to compute product margins. Overhead costs have alr...
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