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PROBLEMS (L02, 3, 4) Montreat Manufacturing has developed the following activity cost pool information for manufacturing activities: ion for its 2014 PI8-28. Two-Stage ABC for

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PROBLEMS (L02, 3, 4) Montreat Manufacturing has developed the following activity cost pool information for manufacturing activities: ion for its 2014 PI8-28. Two-Stage ABC for Manufacturing with ABC Variances Activity Cost Budgeted Activity Cost Driver at Practical Ca 900,000 killograms 1,120 setups 12,000 hours 700,000 978,000 50,000 328,125 Setup 1,000 batches 312,500 units Actual 2014 production information is as follows: Standard Product A 150,000 100 300 6,000 400,000 $900,000 StandardSpecialty B Products 50,000 600 900 2,000 200,000 $820,000 Product Units Batches Machine operations (hours) Direct materials costs. 100,000 80 160 3,000 300,000 $600,000 Some products require setups on two or more machines

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