ScholfieldEnterprises Makes a Variety of Products That It Sells to Other

Multiple Choice

ScholfieldEnterprises makes a variety of products that it sells to other businesses. The company's activity-based costing system has four activity cost pools for assigning costs to products and customers. Details concerning that activity-based costing system are listed below: The cost of serving customers, $1,191.00 per customer, is the cost of serving a customer for one year.Latif Corporation buys only one of the company's products which ScholfieldEnterprises sells for $15.60per unit. Last year Latif Corporation ordered a total of 1,100units of this product in 2orders. To fill the orders, 7batches were required. The direct materials cost is $7.85per unit and the direct labor cost is $1.90per unit. Each unit requires 0.10 direct labor-hours.According to the activity-based costing system, the total cost of the activity "Processing batches" for this customer this past year was closest to:

A) $967.40
B) $1,020.00
C) $52.60
D) $138.20