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OP Technologies Manufacturing manufactures small parts and uses an activity-based costing system. Activity Allocation base Cost allocation rate Materials Assembling Packaging Est. Indirect Activity Costs
OP Technologies Manufacturing manufactures small parts and uses an activity-based costing system. Activity Allocation base Cost allocation rate Materials Assembling Packaging Est. Indirect Activity Costs $66,000 $241,000 $80,000 Material moves Direct labor hours # of finished units $4/move $12/dir. labor hour $3/finished unit The following parts were produced in October with the following information: Part # Produced Materials Costs # Moves A 2,450 $2,600 800 B 5,000 $6,500 1,600 4,950 $8,000 2,700 Dir. Labor Hrs. 350 525 1,700 A. $8.07 B. $7.08 C. $21.69 D. $6.84 OP Technologies Manufacturing manufactures small parts and uses an activity-based costing system. Activity Allocation base Cost allocation rate Materials Assembling Packaging Est. Indirect Activity Costs $66,000 $241,000 $80,000 Material moves Direct labor hours # of finished units $4/move $12/dir. labor hour $3/finished unit The following parts were produced in October with the following information: Part # Produced Materials Costs # Moves A 2,450 $2,600 800 B 5,000 $6,500 1,600 4,950 $8,000 2,700 Dir. Labor Hrs. 350 525 1,700 A. $8.07 B. $7.08 C. $21.69 D. $6.84
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