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Doede Corporation uses activity based costing to compute product margins. In the first stage, the activity based costing system allocates two overhead accounts-equipment depreciation and

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Doede Corporation uses activity based costing to compute product margins. In the first stage, the activity based costing system allocates two overhead accounts-equipment depreciation and Supervisory expense to three activity cost pools-Machining. Order Filling, and Other-based on resource consumption Data to perform these allocations appear below Overhead costs: Equipment depreciation Supervisory expense $57,000 $12,800 Distribution of Resource Consumption Across Activity Cost Pools: Activity Cost Pools Machining Order Filling Equipment depreciation 0.40 Supervisory expense @.40 0.20 0.30 8.30 0.40 In the second stage, Machining costs are assigned to products using machine-hours (MHS) and Order Filing costs are assigned to products using the number of orders. The costs in the other activity cost pool are not assigned to products Activity: Orders (Order Filling) 120 916 1,036 MHS (Machining) 5,480 23,200 28,600 Product W1 Product Me Total Finely, sales and direct cost data are combined with Machining and Order Friting costs to determine product marg Sales and Direct Cost Date: Finally, sales and direct cost data are combined with Machining and Ordering costs to determine product margins Sales and Direct CostData Product Product Sales (total) Direct materials (total) Direct labor (total) $72.99 $37,000 $20,500 $65.000 $22,500 $32,500 What is the product margin for Product Wunder activity-based costing Round your intermediate calculations to 2 decimal places) Multiple Choice 0 $12.390 0 $8.610 0 57800 0 $1810

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