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Benitez Company makes wicker and wooden slat picnic baskets. It requires approximately one hour of labor to make one basket o

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Answer #1

Answer : Option D. $13,920

Explanation :

The activity-based costing (ABC) system is a method of accounting you can use to find the total cost of activities necessary to make a product. The ABC system assigns costs to each activity that goes into production, such as workers testing a product.

Set up cost assigned to wicker basket = $34,800 × 0.4

= $13,920

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