Question
Bossie Corporation uses an activity-based costing system with three activity cost pools. The company has provided the following data concerning its costs and its activity
| Bossie Corporation uses an activity-based costing system with three activity cost pools. The company has provided the following data concerning its costs and its activity based costing system: |
| Costs: | |
| Wages and salaries | $327,000 |
| Depreciation | 315,000 |
| Utilities | 167,000 |
| Total | $809,000 |
| Distribution of resource consumption: | ||||
| Activity Cost Pools | ||||
| Assembly | Setting up | Other | Total | |
| Wages and salaries | 40% | 35% | 25% | 100% |
| Depreciation | 25% | 10% | 65% | 100% |
| Utilities | 15% | 50% | 35% | 100% |
| How much cost, in total, would be allocated in the first-stage allocation to the Assembly activity cost pool? |
$221,933
$121,350
$323,600
$234,600
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Auditing Organizational Communication A Handbook Of Research Theory And Practice
Authors: Owen Hargie, Dennis Tourish
2nd Edition
0415414466, 978-0415414463
