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Warriors Enterprises makes a variety of products that it sells to other businesses. Details concerning that activity-based costing system are listed below: Activity Cost Pool
Warriors Enterprises makes a variety of products that it sells to other businesses. Details concerning that activity-based costing system are listed below: Activity Cost Pool Activity Measure Activity Rate Supporting assembly Direct labor-hours (DLHs) $ 3.45 per DLH Processing batches Number of batches $ 193.30 per batch Processing orders Number of orders $ 83.05 per order Serving customers Number of customers $ 1,608.00 per customer The cost of serving customers, $1,608.00 per customer, is the cost of serving a customer for one year. One customer, Curry Corporation, buys only one of the companys products. The details of this customers purchases for the last year are listed below: Number of units purchased 1,500 units Number of batches 5 batches Number of orders 2 orders Direct labor-hour requirement 0.25 DLHs per unit According to the activity-based costing system, the total overhead cost for this customer this past year was closest to
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