Laguna Corporation Has Provided the Following Data Concerning Its Overhead

Multiple Choice

Laguna 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 Order Processing activity cost pool is closest to:

A) $415 per order
B) $405 per order
C) $495 per order
D) $270 per order