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Bippus Corporation Manufactures Two Products: Product X08R and Product P56L

Question 43

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Bippus Corporation manufactures two products: Product X08R and Product P56L. The company uses a plantwide overhead rate based on direct labor-hours. It is considering implementing an activity-based costing (ABC) system that allocates its manufacturing overhead to four cost pools. The following additional information is available for the company as a whole and for Products X08R and P56L. Bippus Corporation manufactures two products: Product X08R and Product P56L. The company uses a plantwide overhead rate based on direct labor-hours. It is considering implementing an activity-based costing (ABC)  system that allocates its manufacturing overhead to four cost pools. The following additional information is available for the company as a whole and for Products X08R and P56L.   Using the plantwide overhead rate, how much manufacturing overhead cost would be allocated to Product P56L? A)  $311,500 B)  $373,800 C)  $249,200 D)  $418,000 Using the plantwide overhead rate, how much manufacturing overhead cost would be allocated to Product P56L?


A) $311,500
B) $373,800
C) $249,200
D) $418,000

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