FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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Acoma Co. has identified one of its cost pools to be quality control and has assigned $53,998 to that pool. Number of inspections has been chosen as the cost driver for this pool; Acoma performs 26,600 inspections annually. Suppose Acoma manufactures two products that consume 8,512 (Product 1) and 18,088 (Product 2) inspections each.

 

Using activity rates, determine the amount of quality control cost to be assigned to each of Acoma’s product lines. (Do not round intermediate calculation. Round your final answers to 2 decimal places.

 

How would i find the amount of quality control cost to be assigned?

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