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Kenney Company Uses Activity-Based Costing to Account for Its Manufacturing

Question 4

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Kenney Company uses activity-based costing to account for its manufacturing process. Kenney Company produces tires, and each tire has $.50 of direct materials, includes 20 parts and requires 2 hours of machine time. Additional information follows:
Kenney Company uses activity-based costing to account for its manufacturing process. Kenney Company produces tires, and each tire has $.50 of direct materials, includes 20 parts and requires 2 hours of machine time. Additional information follows:    -What is the cost of machining per tire? A)  $28.80 B)  $26.40 C)  $25.80 D)  $29.50
-What is the cost of machining per tire?


A) $28.80
B) $26.40
C) $25.80
D) $29.50

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