Solved

Jefferson,Inc

Question 40

Multiple Choice

Jefferson,Inc.produces two different products (Product 5 and Product Z) using two different activities: Machining,which uses machine hours as an activity driver,and Inspection,which uses number of batches as an activity driver.The cost of Machining is $500,000,while the cost of Inspection is $30,000.The activity drivers are used as follows: Jefferson,Inc.produces two different products (Product 5 and Product Z) using two different activities: Machining,which uses machine hours as an activity driver,and Inspection,which uses number of batches as an activity driver.The cost of Machining is $500,000,while the cost of Inspection is $30,000.The activity drivers are used as follows: What proportion of Machining activity is used by Product 5? A) 20% B) 33% C) 67% D) 75% What proportion of Machining activity is used by Product 5?


A) 20%
B) 33%
C) 67%
D) 75%

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q35: Cottonwood,Inc.produces two different products (Standard and Luxury)using

Q36: Carter,Inc.produces two different products,Product A and Product

Q37: Magnolia Company has identified seven activities as

Q38: Activity Based Costing divides activities into two

Q39: Activity-based costing systems include non-volume-based cost drivers.

Q41: Each individual indirect cost should be assigned

Q42: If the total activity cost were unknown,it

Q43: Using non-volume-based activity drivers allows activity-based costing

Q44: Lynwood,Inc.produces two different products (Product A and

Q45: External failure costs occur _ a defective