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Shalom Company uses an activity-based costing system with three activity cost pools. Manufacturing costs and selling and administrative costs during the period were P580,000
Shalom Company uses an activity-based costing system with three activity cost pools. Manufacturing costs and selling and administrative costs during the period were P580,000 and P240,000, respectively. The Company provided the following information about the distribution of these costs: Activity cost pools Order size Customer support Others 50% 5% 40% 10% 75% 20% Manufacturing overhead Selling and administrative expenses Amounts must be in whole numbers. Example: 88,000 or (88,000) Unit costs be in whole numbers. Example: 88 Format of percentages: 88% Words must be in capital letters. 1. What is the total cost allocated to order size? 2. What is the total cost allocated to customer support? 3. What is the total cost allocated to the other activities? Item 1 Item 2 Item 3
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