The Other Activity Cost Pool Is Used to Accumulate Costs

Multiple Choice

The Other activity cost pool is used to accumulate costs of idle capacity and organization-sustaining costs.
The company has provided the following data concerning its 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.$1,050 per order
B.$1,680 per order
C.$1,190 per order
<underLine>D.</underLine> $1,350 per order
Total Order Processing Cost:
-Whiting 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) $4.30 per labor-hour
B) $7.00 per labor-hour
C) $8.60 per labor-hour
D) $12.90 per labor-hour