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AMARINA Corporation uses activity-based costing to determine product costs for external financial reports. The company has provided the following data concerning its activity-based costing system:
AMARINA Corporation uses activity-based costing to determine product costs for external financial reports. The company has provided the following data concerning its activity-based costing system: Activity Cost Pools (and Activity Measures) Estimated MOH Cost Depreciation (allocated based on # of machine- $67,500 hours) $273.700 Batch setup (allocated based on the # of setups) General factory (allocated based on # of direct labour-hours) $204,000 Expected Activity Activity Cost Pools Total Product X Product Y Depreciation (Machine related) 5,000 M hours 4,000 1,000 Batch setup 7,000 set-ups 3,000 4,000 General factory 8,000 DL hours 1,000 7,000 The activity rate for the general factory activity cost pool is closest to: Select one: o $204.00 per direct labour hour ~ O $25.50 per direct labour hour $29.14 per direct labour hour O not enough information is given to answer this questions
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