Question
Adams Accounting has compiled the following information related to its ABC system: Activity Cost Pool Cost Driver Expected Use of Driver Total Overhead Costs Administration
Adams Accounting has compiled the following information related to its ABC system:
| Activity Cost Pool | Cost Driver | Expected Use of Driver | Total Overhead Costs |
| Administration | Number of hours | 2,450 | $28,175 |
| Travel | Miles traveled | 8,500 | $72,420 |
| Customer management | Number of orders | 1,270 | $24,765 |
What is Adams cost per driver unit for customer management?
Select one:
a. $8.52 per mile
b. $11.50 per hour
c. $14.78 per mile
d. $19.50 per order
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Factory Business System Audit Lean Manufacturing
Authors: Rolf Thorsten
1st Edition
1091908583, 978-1091908581
