Matt Company uses activity based costing. The company has two products: A and B. The annual production and sales of Product A is 9,000 units and of Product B is 7,500 units. There are three activity cost pools, with total cost and total activity as follows:
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Total Activity |
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| Activity Cost Pool | Total Cost | Product A | Product B | Total |
| Activity 1 | $29,295 | 220 | 410 | 630 |
| Activity 2 | $46,895 | 910 | 220 | 1,130 |
| Activity 3 | $130,315 | 840 | 3,050 | 3,890 |
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The activity based costing cost per unit of Product A is closest to: I know the answer to this is 8.46 but i have no idea why! IN ORDER FOR ME TO RATE YOU MUST GIVE A STEP BY STEP PROCESS HOW TO TO DO THIS!! THANK YOU! |
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