1 . McCaskey Corporation used an activity-based costing system with the followin

    1 . McCaskey Corporation used an activity-based costing system with the following three activity cost pools:Activity cost poolTotal activityFabrication40000Machine hoursOrder processing500OthersOther N/AThe other activity cost pool is used to accumulate cost of idle capacity and organization- sustaining cost. The has providing the following data concerning it cost: Wages and Salaries$469000Depreciation$191000Occupancy$120000Total$780000 The distribution of resource consumption across activity cost pool is given below:Activity cost poolsFabricationOrder processingOtherTotalWages and Salaries20%60%20%100%Depreciation20%25%55%100%Occupancy20%45%35%100% The activity rate for the fabrication activity cost pool is closed to: a. $0.65 per machine- hour b. $3.90 per machine-hour c. $4.88 per machine- hour d. 2.25 per machine-hour 2. Spendlove corporation has provided the following data from its activity-based costing systemActivity cost poolTotal costTotal activityAssembly$128214061200Machine- hoursProcessing orders$53958.002040OrdersInspection$1813502340Inspection- hour The company makes 1100 units of product S78N a year requiring a total of 1200 machine hours 131 orders and 31 inspection-hour per year. The product s direct material cost is $5089 per units and its direct labor cost is $20.56 per unit. The product sells of $113.30 per unit. According to the activity-based costing system the product margin for product S78N is : (Round your intermediate calculation to 2 decimal place). a. $117430.05 b. $46035.00 c. $18492.05 d. $15027.55 3.Matt Company used activity- based costing. The company has two product. A and B. the annual production and sales of product A is 9000 units and of product B is 6500 units. There are three activity cost pool with total activity as follow:Total ActivityActivity Cost PoolTotal CostProduct AProduct BTotalActivity 1$36260250350700Activity 2$480378803301210Activity 3$12045085035304380 The activity based costing cost per unit of product Ais closest to: a. $14.33 b. $4.54 c. $7.84 d. $3.94 4. The controller Ferrence Company estimates the amount of material handing overhead cost that should be allocated to the company s two product using the data that are given below:Wall MirrorsSpecialty WindowsTotal Expected Units Produced119001710Total Expected Material Moves11901610Expected Direct Labor- Hour Per Unit78 The total material handing cost for the year is expected to be $17148.70. If the material handing cost is allocated on the basis of direct labor- hours how much of the total material handing cost would e allocated to the wall mirrors? a. $9566 b. $14727 c. $12894 d. $7917

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