Weldon Corporation has provided the following data from its activity-based costi

Question

Weldon Corporation has provided the following data from its activity-based costing accounting system Supervisory wages Factory supplies $340,006 $240,006 Distribution of Resource Consumption across Activity Cost Pools Customer Product Activity Cost Pools Supervisory wages Factory supplies Orders Processing 25% 40% 65% 40% Other 10% 20% Total 100% 100% The "Other" activity cost pool consists of the costs of idle capacity and organization-sustaining costs that are not assigned to products How much indirect factory wages and factory equipment depreciation cost would NOT be assigned to products using the activity-based costing system?

Explanation / Answer

Answer

82000

calculate amount would not be assigned to activity based costing system

supervisory wages = 340000 * 10 % = 34000

factory supplies = 240000 * 20 % = 48000

total cost not assigned to product = 82000

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