A manufacturing company uses an activity-based costing system with three activity cost pools. The company...
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Accounting
A manufacturing company uses an activity-based costing system with three activity cost pools. The company has provided the following data concerning its costs: Costs: Wages and salaries Depreciation 5800,000 120,000 Occupancy 300,000 $1,220,000 Total The distribution of resource consumption across the three activity cost pools is given below: Activity Cost Pools Order Fabricating Processing Other Total Wages and salaries 60% 30% 10% 5% Depreciation 75% 20% 100% 100% 100% Occupancy 80% 10% 10% How much cost, in total, would be allocated in the first-stage allocation to the Fabricating cost pool? $732,000 $406,667 $976,000 $810,000
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