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OP Pie Company makes dessert pies for national fast food chains. Op Ple Company is considering using ABC costing and has the following activity cost
OP Pie Company makes dessert pies for national fast food chains. Op Ple Company is considering using ABC costing and has the following activity cost pools and information available: Activities Estimated Overhead Costs Estimated Activity Material handling measured by $253,000 1,840 batches batches Mixing measured by batches $115,000 3,680 batches Packaging measured by units $72,000 1,800,000 units Maintenance measured by # of $15,000 260 setups setups OP Ple Company currently uses a plantwide overhead rate based on total estimated machine hours of 100,000 hours Based on the above information, what would the clocated cost for packaging be for Job 807 Jobs 807 contains 5,100 units? O A $6.630 OB $72,000 OC. $204 OD. $4,600 ales Employee training $165,000 Warranty costs $185,000 Rework $258,000 Product testing $160,000 Cost of rejected units $20,000 Sales retum processing costs $55,000 Lost profits from lost sales $720,000 Inspection at State of Production $110,000 Preventative maintenance $104,000 improved equipment $145,000 What of the following cost is the total cost of quality the manager should use to report the costs in the internal failure cont category? O A $638,000 OB. $185,000 OC. $278,000 OD. $250,000 OE $160,000 Sules sols
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