A company has two products: Big and Little. It uses activity-based costing and has prepared the following analysis showing budgeted cost and activity for each of its three activity cost pools:??Budgeted ActivityActivity Cost PoolBudgeted CostBig ProductLittle ProductActivity 1$72,0001,2002,800Activity 2$91,0005,2501,750Activity 3$88,0003,2004,800Annual production and sales level of big product is 62,525 units, and the annual production and sales level of little product is 251,900 units.a. Compute the approximate overhead cost per unit of big product under activity-based costing.b. Compute the approximate overhead cost per unit of little product under activity-based costing.
What will be an ideal response?
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Foreign currency nonmonetary assets and liabilities for non-free-standing subsidiaries are translated using the current exchange rate at the balance sheet date.
Answer the following statement true (T) or false (F)
Quality control in foreign affiliates from the home office is less difficult when
A. the quality reports are sent to the home office at the same time. B. production equipment is similar. C. the quality inspectors are trained in the home office. D. separate standards are used in each plant.
If a company receives $12,000 from its sole stockholder to establish a corporation, the effect on the accounting equation would be:
A. Liabilities increase $12,000 and equity decreases $12,000. B. Assets increase $12,000 and equity increases $12,000. C. Assets decrease $12,000 and equity decreases $12,000. D. Assets increase $12,000 and liabilities increase $12,000. E. Assets increase $12,000 and liabilities decrease $12,000.
The ________ method is commonly used to estimate the value of inventory that has been destroyed, lost, or stolen.
Fill in the blank(s) with the appropriate word(s).