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The "Other" Activity Cost Pool Consists of the Costs of Idle

Question 81

Multiple Choice

The "Other" activity cost pool consists of the costs of idle capacity and organization-sustaining costs. You have been asked to complete the first-stage allocation of the costs to the activity cost pools.
-How much cost,in total should not be allocated to orders and customer support in the second stage of the allocation process if the activity-based costing system is used for internal decision making?


A) $0.
B) $60,000.
C) $80,000.
D) $120,000.

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