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TB MC Qu. 4-77 (Algo) Yallow, Inc. manufactures teddy bears... Yallow, Inc. manufactures teddy bears and dolls. Currently, Yallow makes 2,750 teddy bears each month.
TB MC Qu. 4-77 (Algo) Yallow, Inc. manufactures teddy bears... Yallow, Inc. manufactures teddy bears and dolls. Currently, Yallow makes 2,750 teddy bears each month. Each teddy bear uses $13.25 in direct materials and $4.25 in direct labor. Yallow uses two activities in manufacturing the teddy bears: Sewing and Processing. The cost associated with Sewing is $20,625 a month, allocated on the basis of direct labor hours. The cost associated with Processing is $13,750 a month, allocated on the basis of batches. The activity drivers are used as follows: Direct labor hours Batches Teddy Bears Dolls 215 215 140 260 What is the total manufacturing cost for one teddy bear? Multiple Choice $17.50 $23.00 O $19.50 O $22.00
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