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Escalona Company Is a Wholesale Distributor That Uses Activity-Based Costing

Question 48

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Escalona Company is a wholesale distributor that uses activity-based costing for all of its overhead costs. The company has provided the following data concerning its annual overhead costs and its activity-based costing system:
Escalona Company is a wholesale distributor that uses activity-based costing for all of its overhead costs. The company has provided the following data concerning its annual overhead costs and its activity-based costing system:     The  Other  activity cost pool consists of the costs of idle capacity and organization-sustaining costs. The amount of activity for the year is as follows   -To the nearest whole dollar,how much wages and salaries cost would be allocated to a customer who placed four orders in a year? A)  $7,124. B)  $8,859. C)  $10,595. D)  $14,248.
Escalona Company is a wholesale distributor that uses activity-based costing for all of its overhead costs. The company has provided the following data concerning its annual overhead costs and its activity-based costing system:     The  Other  activity cost pool consists of the costs of idle capacity and organization-sustaining costs. The amount of activity for the year is as follows   -To the nearest whole dollar,how much wages and salaries cost would be allocated to a customer who placed four orders in a year? A)  $7,124. B)  $8,859. C)  $10,595. D)  $14,248.
The "Other" activity cost pool consists of the costs of idle capacity and organization-sustaining costs. The amount of activity for the year is as follows
Escalona Company is a wholesale distributor that uses activity-based costing for all of its overhead costs. The company has provided the following data concerning its annual overhead costs and its activity-based costing system:     The  Other  activity cost pool consists of the costs of idle capacity and organization-sustaining costs. The amount of activity for the year is as follows   -To the nearest whole dollar,how much wages and salaries cost would be allocated to a customer who placed four orders in a year? A)  $7,124. B)  $8,859. C)  $10,595. D)  $14,248.
-To the nearest whole dollar,how much wages and salaries cost would be allocated to a customer who placed four orders in a year?


A) $7,124.
B) $8,859.
C) $10,595.
D) $14,248.

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