Activity-based costing uses a number of activity cost pools, each of which may have a different allocation base.

True

False

Assembling a product is an example of a(n):

A.	Unit-level activity.
B.	Batch-level activity.
C.	Product-level activity.
D.	Organization-sustaining.

Senff Corporation uses the following activity rates from its activity-based costing to assign overhead costs to products:

Activity Cost Pools	Activity Rate
Setting up batches	$38.50	per batch
Processing customer orders	$86.62	per customer order
Assembling products	$7.33	per assembly hour

Data concerning two products appear below:

	Product V91Z	Product V21I
Number of batches	83	27
Number of customer orders	74	7
Number of assembly hours	702	321

How much overhead cost would be assigned to Product V91Z using the activity-based costing system?

A.	$113,774.55
B.	$132.45
C.	$3,195.50
D.	$14,751.04

The following data have been provided by Graise Corporation from its activity-based costing accounting system:

Factory supervision	$300,000
Indirect factory labor	$160,000

Distribution of Resource Consumption across Activity Cost Pools:

Activity Cost Pools	Batch Set-Up	Expediting	Other	Total
Factory supervision	35%	55%	10%	100%
Indirect factory labor	50%	30%	20%	100%

How much factory supervision and indirect factory labor cost would be assigned to the Batch Set-Up activity cost pool? The "Other" activity cost pool consists of the costs of idle capacity and organization-sustaining costs that are not assigned to products.

A.	$185,000
B.	$195,500
C.	$230,000
D.	$460,000