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Category > Accounting Posted 26 May 2017 My Price 6.00

Classifying costs and identifying the appropriate cost driver

 

Classifying costs and identifying the appropriate cost driver

Fairfield Manufacturing incurred the following costs during 2011 to produce its high-quality precision instruments. The company used an activity-based costing system and identified the following activities.

    1. Inspection of each batch produced.

    2. Salaries of receiving clerks.

    3. Setup for each batch produced.

    4. Insurance on production facilities.

    5. Depreciation on manufacturing equipment.

    6. Materials handling.

    7. Inventory storage.

Required

      1. Classify each activity as a unit-level, batch-level, product-level, or facility-level activity.

      2. Identify an appropriate cost driver (allocation base) for each activity.

 

 
 

Answers

Alpha Geek
(8)
Status NEW Posted 26 May 2017 02:05 PM My Price 6.00

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file 1495808232-1243185_1_636313329426939109_1243185.docx preview (140 words )
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