Multiple Choice
Producing 10,000 units of a cell phone requires $300,000 of prime costs, uses 2,000 machine hours, and takes 1,200 setup hours. The activity rates are $40 per machine hour and $100 per setup hour. What is the unit cost of a cell phone?
A) $60
B) $40
C) $50
D) $100
E) $30
Correct Answer:
Verified
Correct Answer:
Verified
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