Question
Eccles 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
Eccles 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 | $ 294,000 |
| Depreciation | 284,000 |
| Utilities | 227,000 |
| Total | $ 805,000 |
Distribution of resource consumption:
| Activity Cost Pools | Total | |||
|---|---|---|---|---|
| Assembly | Setting Up | Other | ||
| Wages and salaries | 40% | 30% | 30% | 100% |
| Depreciation | 25% | 10% | 65% | 100% |
| Utilities | 20% | 75% | 5% | 100% |
How much cost, in total, would be allocated in the first-stage allocation to the Assembly activity cost pool?
Multiple Choice $161,000
$234,000
$322,000
$221,333
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Audit And Accounting Guide Employee Benefit Plans
Authors: American Institute Of Certified Public Accountants
1st Edition
0870515756, 978-0870515750
