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Use This Information for Swan Company to Answer the Questions

Question 133

Multiple Choice

Use this information for Swan Company to answer the questions that follow.

Swan Company produces a product at a total cost of $43 per unit. Of this amount, $8 per unit is selling and administrative costs. The total variable cost is $30 per unit, and the desired profit is $20 per unit.
-What is the total overhead allocated to Product A using activity-based costing?


A) $194,500
B) $162,500
C) $32,000
D) $224,000

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