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Bennette Corporation has provided the following data concerning its overhead costs for the coming year: Wages and salaries Depreciation Rent $430,000 165,000 185,000 $780,000 Total
Bennette Corporation has provided the following data concerning its overhead costs for the coming year: Wages and salaries Depreciation Rent $430,000 165,000 185,000 $780,000 Total The company has an activity-based costing system with the following three activity cost pools and estimated activity for the coming year. Activity Cost Pool Assembly Order processing Other Total Activity labor- 45,000 hours 600 orders Not applicable The Other activity cost pool does not have a measure of activity, it is used to accumulate costs of Idle capacity and organization-sustaining costs. The distribution of resource consumption across activity cost pools is given below: Wages and salaries Depreciation Rent Assembly 35% 20% 35% Activity Cost Pools Order Processing 30% 50% 30% Other 35% 30% 35% Total 100% 100% 100% The activity rate for the Order Processing activity cost pool is closest to
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