Solved

X-Ray Machines Ltd What Is X-Ray's Pool Rate for the Packaging Activity?
A)$100

Question 67

Multiple Choice

X-Ray Machines Ltd. manufactures three product lines: Standard, Deluxe, and Superior. The company, which uses activity-based costing, has identified five activities (and related cost drivers) . Each activity, its budgeted cost, and related cost driver is identified below. The following information pertains to the three product lines for next year:  Standard  Deluxe  Supe rior  Units to be produced 15,00010,0007,000 Orders to be shipped 1,000500500 Number of parts per unit 101525 Machine hours per unit 357 Labour hours per unit 222\begin{array}{|l|r|r|r|}\hline & \text { Standard } & \text { Deluxe } & \text { Supe rior } \\\hline \text { Units to be produced } & 15,000 & 10,000 & 7,000 \\\hline \text { Orders to be shipped } & 1,000 & 500 & 500 \\\hline \text { Number of parts per unit } & 10 & 15 & 25 \\\hline \text { Machine hours per unit } & 3 & 5 & 7 \\\hline \text { Labour hours per unit } & 2 & 2 & 2 \\\hline\end{array} What is X-Ray's pool rate for the packaging activity?


A) $100.00 per order shipped.
B) $100.00 per labour hour.
C) $100.00 per unit.
D) $100.00 per machine hour.
E) $200.00 per order shipped.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions