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A company has two products: A and B. It uses activity-based costing and has prepared the following analysis showing budgeted cost and activity for each

A company has two products: A and B. It uses activity-based costing and has prepared the following analysis showing budgeted cost and activity for each of its three activity cost pools:

Budgeted Activity
Activity Cost Pool Budgeted Cost Product A Product B
Activity 1 $ 94,000 3,700 3,500
Activity 2 $ 69,000 5,200 6,200
Activity 3 $ 107,000 3,200 5,950

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