Question
uestion 15pts Activity based costing (ABC) has determined that the shipment setup costs should be accounted for at the batch-level of activities. ABC believes that
uestion 15pts
Activity based costing (ABC) has determined that the shipment setup costs should be accounted for at the batch-level of activities. ABC believes that the costs assigned to the shipment setup for the current period will be $440,000. ABC is estimating that there will be 400 shipments totalling 8,000 units during the current period. Compute the cost that should be allocated to each shipment.
Group of answer choices
- $110.
- $55.
- $550.
- $1,100.
Question 25pts
The Lots More Store has a Janitorial Department and a Personnel Department that provide services to three Sales Departments. The Janitorial Department cost is allocated based on space and the Personnel Department cost is allocated because of employees. The following information is available.
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