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Beaver Company manufactures coffee tables and uses an activity -based costing sy

ID: 2341653 • Letter: B

Question

Beaver Company manufactures coffee tables and uses an activity -based costing system to allocate all manufacturing conversion costs. Each coffee table consists of 20 separate parts totaling $250 in direct materials, and requires 6 hours of machine time to produce. Additional information follows Cost Allocation Rate Activity Allocation Base Materials handling Number of parts Machining Machine hours Assembling Number of parts Packaging Number of finished units $4.00 per part $2.60 per machine hour $1.00 per part $7.00 per finished unit What is the number of finished coffee tables? O A. 330 O B. 48 O C. 120 D. Cannot be determined from the information given

Explanation / Answer

D. Cannot be determined from the information given

The number of finished coffee tables cannot be determined from the information given.