Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

15. Unique Finds sells fine collectible statues and has implemented activity-based costing. Costs in the shipping department have been divided into three cost pools. The

image text in transcribed

15. Unique Finds sells fine collectible statues and has implemented activity-based costing. Costs in the shipping department have been divided into three cost pools. The first cost pool contains costs that are related to packaging and shipping. Unique ha that the number of boxes shipped is an appropriate cost driver for these costs. The second cost pool is made up of costs related to the final inspection of each item before it is shipped and the cost driver for this pool is the number of individual items that are inspected. The final cost pool is used for general operations of the department and the cost driver is the number of orders. Information about the activities is summarized below: Cost Pool Estimated Total Costs $ 67,200 Packaging and shipping Final inspection Estimated Cost Driver Annual Activity Number of boxes shipped 16,000 boxes Number of individual items 100,000 inspected items Number of orders 10.000 orders 200,000 85,000 General operations During June, 2,100 boxes were packed and shipped. How much is the packaging and shipping cost for each box shipped? A) $0.24 B) $7.62 C) $4.20 D) $32.00

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Audit Value Factor Making Managements Head Turn Internal Audit And IT Audit Series

Authors: Daniel Samson

1st Edition

1138198129, 978-1138198128

More Books

Students also viewed these Accounting questions

Question

2. What present and future costs are involved in this decision?

Answered: 1 week ago