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Business, 20.07.2021 19:20 conyabrew82

ABC Company has two products: A and B. The company uses activity-based costing. The estimated total cost and expected activity for each of the company's three activity cost pools are as follows: Expected activity cost
Activity Estimated cost Product A Product B Total
Activity1 $22,000 400 100 500
Activity2 $16,240 380 200 580
Activity3 $14,600 500 250 750

The activity rate under the activity-based costing system for Activity 3 is closest to:

a. $70.45.
b. $28.87.
c. $19.47.
d. $58.40.

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Answers: 2

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