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OP Technologies Manufacturing manufactures small parts and uses an activity-based costing system. Activity Materials Assembling Packaging Est. Indirect Activity Allocation base Cost allocation rate
OP Technologies Manufacturing manufactures small parts and uses an activity-based costing system. Activity Materials Assembling Packaging Est. Indirect Activity Allocation base Cost allocation rate Costs $75,000 Material moves $251,000 Direct labor hours $90,000 # of finished units $4.00/move $9.00/dir. labor hour $3.00/finished unit The following parts were produced in October with the following information: Part A #Produced 2,250 Materials Costs #Moves Dir. Labor Hrs. $3,100 1,000 350 B 4,000 $5,500 1,700 425 C 4,550 $7,000 2.700 1,700 Total packaging fees for all three parts is O $43,200 $18,750 $32,400 $16,200
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