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Jefferson, Inc. produces two different products (Product 5 and Product 2) using two different activities: Machining, which uses machine hours as an activity driver,
Jefferson, Inc. produces two different products (Product 5 and Product 2) using two different activities: Machining, which uses machine hours as an activity driver, and Inspection, which uses number of batches as an activity driver. The cost of Machining is $118,800, while the cost of Inspection is $42,340. The activity drivers are used as follows: Product 5 Product z Total Machine hours Number of batches 1,188 55 3,212 4,400 18 73 What proportion of Machining activity is used by Product Z? Multiple Choice 65% 73% 27% 35%
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