25) Pitt Jones Company had the following activities, allocated costs, and allocation bases: Activities Allocated Costs Allocation Base Account inquiry hours) $60,000 515000 20,000 accounts Account verification (accounts) Correspondence letters S10000 1000 letters The above activities are carried out at two of their regional offices Northeast Office Midwest Office Account inqury hoursU 100 hours hours Account billing lines) 100000 lines lines Account verification accounts 1000 accounts 600 accounts Correspondence lettersD 30 letters 100letters What is the cost per unit for the account billing activity? A) $1.60 B) $1.50 D) S 26) Formosa Steel Products makes steel building materials for export, and uses an activity-based costing system to account for the indirect manufacturing costs of its various products. Indirect costs for the whole factory are broken down into three activities casting, materials handling, and milling. The cost driver for casting is machine hours: the cost driver for material handling is kilograms, and the cost driver for milling is direct labor hours Activity costs and volumes for the year were estimated as follows: Activity Cost Volume Casting S2000,000 R0000000 Machine hours Material Handling SI00000 500.00000 Kilograms Milling 1.120000 4000000 Direct labor hours One product is steel reinforcement rods, sold by the metric ton. Engineering reports show that one metric ton of steel reinforcement rods requires $100 of direct materials cost plus $50 of direct labor cost. Producing one metric ton of steel rods also requires 24 machine hours for casting, weighs 1.000 kilograms, and requires 15 direct labor hours. What is the activity rate for the material handling activity? C) S4.40 per kg D)$1.25 per kg A) $0.80 per kg B) $2.50 per kg 27) Which of the following pertains to a just-in-time production system? A) Work in process and conversion costs are combined into a raw and in process inventory account. B) Direct materials and conversion costs are combined into a raw and in process inventory Direct materials and work in process are combined into a conversion inventory account. D) Direct materials and work in process are combined into a raw and in process inventory