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7 Part 7 of 15 Required information Greenwood Company manufactures two products14,000 units of Product Y and 6,000 units of Product Z. The company uses
7 Part 7 of 15 Required information Greenwood Company manufactures two products14,000 units of Product Y and 6,000 units of Product Z. The company uses a plantwide overhead rate based on direct labor-hours. It is considering implementing an activity-based costing (ABC) system that allocates all of its manufacturing overhead to four cost pools. The following additional information is available for the company as a whole and for Products Y and Z: 10 points Activity Cost Pool Machining Machine setups Production design General factory Activity Measure Machine-hours Number of setups Number of products Direct labor-hours Estimated Overhead Cost $ 198,000 $ 86,400 $ 82,000 $ 248,000 Expected Activity 10,000 MHS 180 setups 2 products 10,000 DLHS Print Activity Measure Machining Number of setups Number of products Direct labor-hours Product Y Product Z 7,800 2,200 50 130 1 1 7,800 2,200 7. Which of the four activities is a batch-level activity? Machining activity General factory activity Product design activity Machine setups activity
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