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ID: 2394934 • Letter: F

Question

File Edit View History Bookmarks People Window Help Take a Test- walhan youhanan Secure https://www.mathal.com/Student/PlayerTest.aspx?testid 184040988&cern; erwinayes walhan youhanan | 6/29/18 Time Remaining: 00-3036 S This Quiz: 10 p BUS 121-Section 1838-ONLINE Summer 2018 Quiz: Ch 4 Quiz This Question: 1 pt 3 of 10 (5 complete) Beaver Company manufactures coffee tables and uses an activity-based costing system to allocate all manufacturing conversion costs. 30 separate Activity Materials handing Number of parts parts totaling $190 in direct materials, and requires 4 hours of machine d time to produce. Additional information folows Cost Allocation Rate 1.00 per part $5.40 per machine hour $4.00 per part Allocation Base Machine hours Number of parts Number of finished units $5.00 per finished unt What is the total manufacturing cost per coffee table? O A $176.60 O B. $162.00 C. $366.60 OD. S361.60 Click to select your answer 29 20 FS F6 F7 FS 1O

Explanation / Answer

Answer is C ($ 366.6)

Calculation in details is as under:

ACTIVITY                        ALLOCATION BASE                COST ALLOCATION RATE            $               TOTAL

                                                                                                                                                                                COST

MATERIAL COST                                                                                                                               190`        190

MATERIALS

HANDLING                          NO.OF PARTS                    $1.0 PER PART                                   30X1      30

MACHINING                      MACHINE HOURS            $ 5.4 PER MACHINE HOUR            4X5.4     21.6

ASSEMBLING                     NO. OF PARTS                   $ 4 PER PART                                      30X4      120

PACKAGING                    NO.OF FINISHED UNITS    $5 PER FINISHED UNITS                 1X5             5

                                                                                                                                                                                ------

                                                                                                                                                                                366.6

                                                                                                                                                                                _____

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