Answered step by step
Verified Expert Solution
Question
1 Approved Answer
me, Inc. produces two different products (bompers and woobles) using two different activities: Machining, which uses me nours as an activity driver, and Inspection, which
me, Inc. produces two different products (bompers and woobles) using two different activities: Machining, which uses me nours as an activity driver, and Inspection, which uses number of batches as an activity driver. The activity rate for viachining is $125 per machine hour, and the activity rate for inspection is $500 per batch. Usage of the activity drivers are as follows: Bompers Woobles Total Machine hours 1000 3000 4000 60 Number of batches +5 15 20. Bervine, Inc. produces two different products (bompers and woobles) 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 activity rate for Machining is $125 per machine hour, and the activity rate for Inspection is $500 per batch. Usage of the activity drivers are as follows: What is the amount of Machining cost assigned to bompers? A. $22,500 B. $125,000 C. $375,000 D. $500,000
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started