Question
Ravelo Corporation has provided the following data from its activity-based costing system: Activity Cost Pools Estimated Overhead Cost Expected Activity Assembly $ 506,520 48,000 machine-hours
Ravelo Corporation has provided the following data from its activity-based costing system:
| Activity Cost Pools | Estimated Overhead Cost | Expected Activity | |||
| Assembly | $ | 506,520 | 48,000 | machine-hours | |
| Processing orders | $ | 58,263 | 1,500 | orders | |
| Inspection | $ | 81,589 | 1,510 | inspection-hours | |
Data concerning the company's product L19B appear below:
| Annual unit production and sales | 510 | |||
| Annual machine-hours | 1,070 | |||
| Annual number of orders | 150 | |||
| Annual inspection hours | 100 | |||
| Direct materials cost | $ | 45.74 | per unit | |
| Direct labor cost | $ | 18.45 | per unit | |
According to the activity-based costing system, the unit product cost of product L19B is closest to
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Auditing A Risk Based Approach to Conducting a Quality Audit
Authors: Karla Johnstone, Audrey Gramling, Larry E. Rittenberg
10th edition
978-1305080577
