Neef Corporation has provided the following data for its two most recent years of operation: The net operating income (loss) under variable costing in Year 2 is closest to: Muitiple Choice $630,000 TB MC Qu. 7-30 (Static) Guerra Electronics manufactures a variety... Guerra Electronics manufactures a variety of electronic gadgets for use in the home. Which of the following would probably be the most accurate measure of activity to use for allocating the costs of inspecting the finished products at Guerra? Multiple Choice Machinehours Direct labor-hours Inspection time Number of inspections Departmental overhead rates may not correctly assign overhead costs due to: Multiple Choice the use of direct labor hours in allocating overhead costs to products rather than machine time or quantity of materials used. the high correlation between direct labor-hours and the incurrence of overhead costs. overrelionce on volume as a basis for allocating overhead costs where products differ regarding the number of units produced, lot size, or complexity of production. production. difficulties associated with identifying cost pools for the first stage of the allocation process. Bennette Corporation has provided the following data concerning its overhead costs for the coming year: The company has an activity-based costing system with the following three activity cost pools and estimated activity for the coming year. The Other activity cost pool does not have a measure of activity; it is used to accumulate costs of idle capacity and organization-sustaining costs. The distribution of resource consumption across activity cost pools is given below: The activity rate for the Order Processing activity cost pool is closest to: Multiple Choice The activity rate for the Order Processing activity cost pool is closest to- Multiple Choice $510 per order $500 per order $390 per order $520 per arder