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Q3.a. Latif Company has two products: A and B. The company uses activity-based costing. The estimated total cost and expected activity for each of
Q3.a. Latif Company has two products: A and B. The company uses activity-based costing. The estimated total cost and expected activity for each of the company's three activity cost pools are as follows: Estimated Expected Activity Activities Overhead Cost Product A Product B Total Product design... $17,600 800 300 1,100 Assembling..... $12,000 500 200 700 Supporting customer......... $26,000 800 400 1,200 Required: 1. Compute POHR per activity (Round off to two decimal places) 2. Calculate the overhead cost per unit, if the company produces 1,000 units of product A and 500 units of product B. (6 MARKS) Answer:
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