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A company budgeted the following overhead and cost pools for the upcoming year: Cost Pool Total overhead costs Cost driver budgeted cost drive Material Handling

A company budgeted the following overhead and cost pools for the upcoming year:
Cost Pool Total overhead costs Cost driver budgeted cost drive
Material Handling $ 400,000 Pounds of material 10,000
Repairs and maintenance $ 4,000 number of machine hours 20,000
Inspections $ 200,000 number of inspections 100
During the year, Job AX4 for 20 units was finished and required the following:
100 pounds of material
300 hours of machine hours
10 inspections
Each unit sold for $2,000. the material cost was $20 per unit, and the labor cost was $80 per unity.
Using activity-based costing, what is Job AX4's porfit margin?
39.95%
34.35%
34.85%
38.60%

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