Beaver Company manufactures coffee tables and uses an activity based costing system to allocate all manufacturing conversion costs. Each coffee tables consists of 20 separate parts totaling $180 in...


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Beaver Company manufactures coffee tables and uses an activity based costing system to allocate all manufacturing conversion costs. Each coffee tables consists of 20 separate parts totaling $180 in direct<br>materials, and requires 4 hours of machine time to produce. Additional information follows:<br>Activity<br>Materials handling<br>Allocation Base<br>Cost Allocation Rate<br>$1.00 per part<br>$4.40 per machine hour<br>$5.00 per part<br>$5.00 per finished unit<br>Number of parts<br>Machine hours<br>Machining<br>Assembling<br>Packaging<br>Number of parts<br>Number of finished units<br>What is the cost of machining per coffee table?<br>O A. $100.00<br>O B. $20.00<br>C. $88.00<br>O D. $17.60<br>Click to select your answer.<br>

Extracted text: Beaver Company manufactures coffee tables and uses an activity based costing system to allocate all manufacturing conversion costs. Each coffee tables consists of 20 separate parts totaling $180 in direct materials, and requires 4 hours of machine time to produce. Additional information follows: Activity Materials handling Allocation Base Cost Allocation Rate $1.00 per part $4.40 per machine hour $5.00 per part $5.00 per finished unit Number of parts Machine hours Machining Assembling Packaging Number of parts Number of finished units What is the cost of machining per coffee table? O A. $100.00 O B. $20.00 C. $88.00 O D. $17.60 Click to select your answer.

Jun 03, 2022
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