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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 Activity 1 $ 90,000 8,000 Activity 2 Activity 3 $ 65,000 9,000 $122,000 4,500 Product B Product C 11,000 22,000 17,000 10,000 3,000 3,625 How much overhead will be assigned to Product B using activity-based costing?
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