Angara Corporation uses activity-based costing to determine product costs for ex
ID: 2432900 • Letter: A
Question
Angara Corporation uses activity-based costing to determine product costs for external financial reports. The company has provided the following data concerning its activity-based costing system: Activity Cost Pool (and Activity Measure) Total Cost Machine related (machine-hours) $ 135,200 Batch setup (setups) $ 604,800 Order size (direct labor-hours) $ 121,500 Total Activity Activity Cost Pools Product X Product Y Total Machine related 1,400 6,600 8,000 Batch setup 2,900 5,100 8,000 Order size 6,400 2,600 9,000 The total amount of overhead cost allocated to Product X would be closest to:
Explanation / Answer
Working:
Overhead Assigned to Product X $ 3,29,300