Multiple Choice
Compton Corporation The following overhead cost information is available for Compton Corporation for 2011: During the year, 5,000 purchase orders were issued; 20,000 shipments were received; 3,000 machine setups were performed; and 4,000 inspections were conducted.
Refer to the Compton Corporation information above. What is the overhead rate for the purchasing activity?
A) $0.05 per purchase order
B) $20.00 per purchase order
C) $72.00 per purchase order
D) $3.13 per purchase order
Correct Answer:

Verified
Correct Answer:
Verified
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