Question
on Please use Table 2 to ANSWER this question. COVID Co. produces two different products (Product A and Product X) using two different activities: Machining,
on Please use Table 2 to ANSWER this question. COVID Co. produces two different products (Product A and Product X) 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 $500,000, while the cost of Inspection is $30,000. What proportion of Inspection activity is used by Product X? Select one: a. 75% b. 20% c. None of the given ANSWER d. 25% e. 67% Table 2 The activity drivers are used as follows: Product A Product X Total Machine hours Number of batches| 1,200 4,800 6,000 60 20 80
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