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Aujla Corporation uses activity-based costing to determine product costs for external financial reports. The company...

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Accounting

Aujla Corporation uses activity-based costing to determine product costs for external financial reports. The company has provided the following data concerning its activity-based costing system: Activity Cost Pools (and Activity Measures) Estimated Overhead Cost Machine related (machine-hours) $239,000 Batch setup (setups) $234,900 General factory (direct labour-hours) $159,300 Expected Activity Activity Cost Pools Total Product X Product Y Machine related 10,000 3,000 7,000 Batch setup 10,000 4,000 6,000 General factory 14,000 7,000 7,000 The activity rate for the batch setup activity cost pool is closest to:

options: $26.10 $29.40 $70.40 $234.90

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