ACCT 201 Angara Corporation uses activity-based costing to determine product costs for external financial reports
January 7th, 2018
Angara Corporation uses activity-based costing to determine product costs for external financial reports. The company has provided the following data concerning its activity-based costing system:Activities(and Activity Measures)EstimatedOverheadCost Machine related (machine-hours)$250,640 Batch setup (setups)$252,480 General factory (direct labour-hours)$172,020Expected ActivityActivitiesProduct XProduct YTotal Machine related4,2006,20010,400 Batch setup8,4001,200 9,600 General factory3,2006,200 9,400 Assuming that actual activity turns out to be the same as expected activity, the total amount of overhead cost allocated to Product X would be closest to:$252,480$583,580$331,100$380,700