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ABC company uses activity-based costing (ABC). The company makes products A and B Number of cost driver units Cost pool Total cost in cost pool
ABC company uses activity-based costing (ABC). The company makes products A and B
Number of cost driver units | |||
Cost pool | Total cost in cost pool | product A | product B |
pool 1 | $12,000 | 20 | 30 |
pool 2 | $5,000 | 20 | 5 |
pool 3 | $42,000 | 30 | 12 |
Compute allocated capacity costs for product A.
Group of answer choices
$38,800
not enough information -- need to know the total number of cost driver units
$4,800
$30,000
$59,000
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