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Business, 05.07.2020 14:01 heartprague

RS Company manufactures and distributes two products, R and S. Overhead costs are currently allocated using the number of units produced as the allocation base. The controller has recommended changing to an activity-based costing (ABC) system. She has collected the following information:Activity Cost Driver Amount M XYProduction setups Number of setups $96,000 12 28 Material handling Number of parts 46,000 42 28 Packaging costs Number of units 225,500 90,000 60,000 $367,500 What is the total overhead per unit allocated to Product M using activity-based costing (ABC)?a. $2.13.b. $2.93.c. $2.37.d. $2.45.

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