Question

12.   Which of the following activity costs would likely be included in a batch-level activity cost...

12.   Which of the following activity costs would likely be included in a batch-level activity cost pool?

A.    Per unit inspection costs

B.    Machine set-up costs

C.    Quality control costs

D.    All of these answers are correct.

13.   A product-level activity center would likely include all of the following costs except:

A.    engineering development costs.

B.    legal fees to obtain and protect patents.

C.    packaging design costs.

D.    materials handling costs.

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Answer #1

ANSWER

12. Correct option is Machine set-up costs

Batch level activities are the cost which incurred everytime when any group of units are produced. Unit level activities occur when single unit is produced.

Machine set up costs is a batch level activity because it will be occur when batch of units will be produced.

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