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34. Durable Engines Company uses ABC to account for it manufacturing process. Activities Materials handling...

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34. Durable Engines Company uses ABC to account for it manufacturing process. Activities Materials handling Machine setup Assembling Packaging Indirect activity budget $ 36,000 $ 19,200 $ 6,000 S 12,800 Allocation base (cost driver) Based on number of parts Based on number of setups Based on number of parts Based on number of finished units Durable Engines Company expects to produce 2,000 engines. Durable Engines Company also expects to use 12,000 parts and have 16 setups. The allocation rate for materials handling will be: A. S 5.28. B. $ 6.40 C. $ 3.00. D. $18.00 1

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