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Annika Company uses activity-based costing. The company has two products: A and B. The annual production and sales of Product A is 4,000 units and
Annika Company uses activity-based costing. The company has two products: A and B. The annual production and sales of Product A is 4,000 units and of Product B is 1,000 units. There are three activity cost pools, with estimated total cost and expected activity as follows:
The budgeted cost per unit of Product A under activity-based costing is closest to:
a. | $20.40 | |
b. | $10.00 | |
c. | $18.15 | |
d. | $17.00 |
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