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Strama, Inc., manufactures and sells two products: Product A6 and Product 15. The company has an activity-based costing system with the following activity cost pools,
Strama, Inc., manufactures and sells two products: Product A6 and Product 15. The company has an activity-based costing system with the following activity cost pools, activity measures, and expected activity: 2 Expected Activity Estimated Activity Overhead Activity Cost Pools Measures Cost Labor-related DLHS $185, 138 Production orders orders 41,624 Order size MHS 177,147 $403,909 Product A6 Product 15 7,600 2,200 600 800 5,000 5, 100 Total 9,800 1,400 10,100 The activity rate for the Order Size activity cost pool under activity-based costing is closest to: Multiple Choice $22.45 per MH O $84.15 per MH O $41.22 per MH o $17.54 per MH
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