Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Use the following information to answer questions 19-20. Godiva company has two products, A and B. The company uses activity- based costing to allocate overhead
Use the following information to answer questions 19-20. Godiva company has two products, A and B. The company uses activity- based costing to allocate overhead costs of $100,000. Data relating to the company's activity pools for the current year are given below: Cost Pool Total cost in Total Number of Activity Measures Used Cost Pool Product A Product B Total Activity 1 $42,000 100 200 300 Activity 2 $10,000 20 5 25 Activity 3 $48,000 3,000 3,000 6,000 Compute the activity rate (allocation rate) for Activity 2: $500 B $2,000 $400 D $140 Question 21 2.5 Points Use the following information to answer questions 19-20. Godiva company has two products, A and B. The company uses activity- based costing to allocate overhead costs of $100,000. Data relating to the company's activity pools for the current year are given below: Cost Pool Total cost in Total Number of Activity Measures Used Cost Pool Product A Product B Total Activity 1 $42,000 100 200 300 Activity 2 $10,000 20 5 25 Activity 3 $48,000 3,000 3,000 6,000 Compute total overhead costs allocated to Product A: A $54,000 B $14,000 $24,000 $46,000
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started