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A company uses activity based costing to determine the costs of its three products: A, B, and C. The budgeted cost and activity for each
A company uses activity based costing to determine the costs of its three products: A, B, and C. The budgeted cost and activity for each of the company's three activity cost pools are shown in the following table Budgeted Activity Activity Cost Pool Budgeted Cost Product A Product B Product Activity 1 $74,800 6,400 9,480 20,400 Activity 2 $49,000 7,400 15,400 8,400 Activity 3 $90,000 2,900 1,400 2,025 Which of the following statements is true regarding this company's activity rates? Multiple Choice The activity rate under the activity based costing system for Activity 2 5204 The activity tote under the activity based costing system for Activity 2 514.23 Saved Hel Multiple Choice The activity rate under the activity-based costing system for Activity 2 is $2.04 The activity rate under the activity based costing system for Activity 2 is $14.23 The activity rate under the activity-based costing system for Activity 2 is $1.57 The activity rate under the activity-based costing system for Activity 2 is $1784 The activity rate under the activity-based costing system for Activity 2 is $2.97
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