What cost per unit of product a under activity-based costing


Matt Company uses activity-based costing. The company has two products: A and B. The annual production and sales of Product A is 8,000 units and of Product B is 6,000 units. There are three activity cost pools, with estimated total cost and expected activity as follows:


Activity Estimated Expected Activity
Cost Pool Cost Product A Product B Total
Activity 1 $20,000 100 400 500
Activity 2 $37,000 800 200 1,000
Activity 3 $91,200 800 3,000 3,800

what the cost per unit of Product A under activity-based costing is closest to:

 

Request for Solution File

Ask an Expert for Answer!!
Accounting Basics: What cost per unit of product a under activity-based costing
Reference No:- TGS087098

Expected delivery within 24 Hours