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s Eide Company, a manufacturer of small appliances, had the following activities,allocated costs,and allocation bases: Activities Account inquiry (hours) Account billing (lines) Account verification (accounts)
s Eide Company, a manufacturer of small appliances, had the following activities,allocated costs,and allocation bases: Activities Account inquiry (hours) Account billing (lines) Account verification (accounts) Correspondence (letters) Allocated Costs $66,00 $42,000 $14,000 $14,000 Allocation Base 2,400 hours 17,000 lines 21,000 accounts 1,400 letters The above activities are carried out at two of its regional offices. Activities Account inquiry (hours) Account billing (lines) Account verification (accounts) Correspondence (letters) Northeast Office 100 hours 12,000 lines 1,100 accounts 70 letters Midwest Office 250 hours 9,000 lines 700 accounts 130 letters What is the cost per account for the account verification activity? (Round your answer to the nearest cent.) A) $27.50 B) $3.88 C) $10.00 D) $0.67 Havalaning an activity-based costing system
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