Stanley Corp

Multiple Choice

Stanley Corp. manufactures two models of its roasting pans, a standard and a deluxe model. Three activities have been identified as cost drivers and the related costs pooled together to arrive at the following information:

-If activity-based costing is used, then the product setup cost for the standard model would be

A) $12,857.
B) $17,143.
C) $1,071.
D) $1,866.