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Accounting

Aberdeen Corp. uses activity-based costing system with three activity cost pools. The following cost information is provided:

Wages and salaries $ 220,000
Depreciation 120,000
Utilities 100,000
Total $440,000

Activity Cost Pools
Assembly Setting Up Other Total
Wages and salaries 60% 30% 10% 100%
Depreciation 35% 45% 20% 100%
Utilities 30% 40% 30% 100%

How much total cost would be allocated to the Assembly activity cost pool?

a. $204,000
b. $174,000
c. $440,000
d. $162,000

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Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M965461

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