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Favreau Company uses activity-based costing to determine the costs of its two products: A and B . The estimated total cost and expected activity for

Favreau Company uses activity-based costing to determine the costs of its two products:

A

and

B

. The estimated total cost and expected activity for one of the company's three activity cost pools are as follows.\ \\\\table[[\\\\table[[Estimated],[Cost]],Expected Activity],[Product A,Product B],[

$14,000

,400,300]]\ What is the activity rate for this activity?\ A)

,$4.00

\ B)

$8.59
image text in transcribed
4. Favreau Company uses activity-based costing to determine the costs of its two products: A and B. The estimated total cost and expected activity for one of the company's three activity cost pools are as follows. What is the activity rate for this activity? A) $4.00 B) $8.59

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