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Ginger Company produces three products: A, B, and C. Product A requires 600 purchase orders, Product B requires 800 purchase orders, and Product C requires
Ginger Company produces three products: A, B, and C. Product A requires 600 purchase orders, Product B requires 800 purchase orders, and Product C requires 1,000 purchase orders for a total of 2,400 purchase orders. The company has identified an ordering and receiving activity cost pool totaling $180,000 for which the cost driver is purchase orders. How much ordering and receiving overhead cost is assigned to each product? Product A: $45,000; Product B: $60,000; Product C: $75,000 Product A: $40,500; Product B: $45,000; Product C: $94,500 Product A: $60,000; Product B: $60,000; Product C: $60,000 Product A: $36,000; Product B: $54,000; Product C: $90,000
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