Zee Corporation Has Provided the Following Data Concerning Its Overhead

Multiple Choice

Zee Corporation has provided the following data concerning its overhead costs for the coming year: The company has an activity-based costing system with the following three activity cost pools and estimated activity for the coming year: The Other activity cost pool does not have a measure of activity; it is used to accumulate costs of idle capacity and organization-sustaining costs. The distribution of resource consumption across activity cost pools is given below: The activity rate for the Assembly activity cost pool is closest to:

A) $2.70 per labor-hour
B) $4.25 per labor-hour
C) $4.05 per labor-hour
D) $8.10 per labor-hour