Author Question: Murphy Company produces two products: Standard and Deluxe. The company uses an activity-based ... (Read 57 times)

markburs · **on:** Feb 5, 2023

Murphy Company produces two products: Standard and Deluxe. The company uses an activity-based costing system. Murphy produced 8,000 units of Standard and 2,000 units of Deluxe. The company uses two activity cost pools, with estimated total cost and activity as follows:

Expected Activity

Activity Cost Pool

Estimated Cost

Standard

Deluxe

#1	$12,000	500	250
#2	$24,000	400	1,200

What is the cost per unit of Standard under activity-based costing?
◦ $1.75
◦ $16.00
◦ $9.00
◦ $15.00

my33251 · **Reply #1 on:** Feb 5, 2023

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