Susan Is the Controller for Simply Devine Inc

Multiple Choice

Susan is the controller for Simply Devine Inc., a company that produces ice cream and specializes in dairy-free versions of the Cookie Dough and Rocky Road flavors. Susan has recommended that Simply Devine implement Activity-Based Costing (ABC) as they gear up to produce the following number of pints in the coming year: Cookie Dough, 98,700 pints; and Rocky Road, 88,430 pints. Susan believes that a traditional costing system has not been the most effective manner to allocate their Manufacturing Overhead (MOH) costs. She has compiled the following data about the usage of their company resources:
Problems 25 and 26 seem a little long for multiply choice questions.
As this is a Hard-level question, it requires the test-taker to do a more thorough look at the material.
Their MOH is comprised of the following costs:
What is the ABC-based total MOH cost allocated per unit for Cookie Dough ice cream? (If required, round calculations to two decimal places.)

A) $0.74
B) $1.40
C) $1.41
D) $1.56