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Question 5 (1 point) Ponder Ltd. has two categories of overhead: Maintenance and Shipping. Expected costs and activity levels for these categories for 20x2
Question 5 (1 point) Ponder Ltd. has two categories of overhead: Maintenance and Shipping. Expected costs and activity levels for these categories for 20x2 are as follows: Total cost Cost driver Activity 26,400 machine Maintenance $341,000 hours Shipping $657,000 1,250 shipments In developing a bid for a proposed job, Ponder has assembled the following data: Item Direct materials Direct labour (at $8/hour) Machine hours Number of shipments Amount $3,500 $11,000 6,100 4 Using activity-based costing and the appropriate cost drivers, what is the total cost of the potential job? Your Answer:
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