Activity-based costing accounting system

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Reference no: EM13179319

1. Lehner Corporation has provided the following data from its activity-based costing accounting system:

  Indirect factory wages $615,000 

  Factory equipment depreciation    $321,000 

Distribution of Resource Consumption across Activity Cost Pools:

Activity Cost Pools

  Customer

Orders    Product

Processing       Other      Total

  Indirect factory wages 55%  20%  25%  100% 

  Factory equipment depreciation    10%  55%  35%  100% 

The "Other" activity cost pool consists of the costs of idle capacity and organization-sustaining costs that are not assigned to products.

How much indirect factory wages and factory equipment depreciation cost would be assigned to the Customer Orders activity cost pool?

  A. $337,850

  B. $513,350

  C. $936,000

  D. $370,350

Reference no: EM13179319

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