Question

Ravelo Corporation has provided the following data from its activity-based costing system: Activity Cost Pools Assembly Processing orders Inspection Estimated Overhead Cost Expected Activity $502,520 46,000 machine-hours $ 56,263 1,300 orders $ 79,589 1,310 inspection-hours Data concerning the company's product L19B appear below: Annual unit production and sales Annual machine-hours Annual number of orders Annual inspection hours Direct materials cost Direct labor cost 470 1,030 110 60 $ 41.74 per unit $14.45 per unit According to the activity-based costing system, the unit product cost of product L19B is closest to: (Round your intermediate calculations to 2 decimal places.)

Answer 1

Activity	Overhead Cost	Activity Drivers	Activity Rate	Activity Driver Incurred	Overhead assigned
Assembly	$         502,520	46000	machine hours	$   10.92	per machine hour	1030	$              11,252.08
Processing orders	$            56,263	1300	orders	$   43.28	per order	110	$                4,760.72
Inspection	$            79,589	1310	inspection hours	$   60.75	per inspection hour	60	$                3,645.30
							$              19,658.09
							470
							$                      41.83
							$                      41.74
							$                      14.45
							$                      98.02

Answer is C