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Gwynnie Pie Company makes dessert pies for national fast food chains. Gwynnie Pie Company is...

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Accounting

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Gwynnie Pie Company makes dessert pies for national fast food chains. Gwynnie Pie Company is considering using ABC costing and has the following activity cost pools and information available: Activities Estimated Overhead Costs Estimated Activity Material handling measured by $250,000 2,500 batches batches Mixing measured by batches $112.000 2,500 batches Packaging measured by units $75,000 2,500,000 units Maintenance measured by # of $15.000 260 setups setups Gwynnie Pie Company currently uses a plantwide overhead rate based on total estimated machine hours of 100,000 hours. Based on the above information, what would the activity cost allocation rate be for mixing? O A. $4.52 per machine hour O B. $44.80 per batch O C. $0.03 per unit OD. $100 per batch

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