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Question 9 Not yet answered Marked out of 1.2 XYZ Company manufactures and distributes two products, M and XY. Overhead costs are currently allocated
Question 9 Not yet answered Marked out of 1.2 XYZ Company manufactures and distributes two products, M and XY. Overhead costs are currently allocated using the number of units produced as the allocation base. The controller has recommended changing to an activity-based costing (ABC) system. She has collected the following information: Flag question Activity Cost Driver Amount M Production setups Material handling Number of setups Number of parts $ 82,000 8 48,000 56 Packaging costs Number of units 130.000 50.000 80,000 X8 XY 12 24 $ 260,000 What is the total overhead per unit allocated to Product M using activity-based costing (ABC)? Select one: O a. $2.33. Ob. 51.83. Oc. $2.27. O d. none of the given answer. e. $1.79.
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