Rock Bottom's Brew is a successful brewery engaged in the development and production of specialty...
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Accounting
Rock Bottom's Brew is a successful brewery engaged in the development and production of specialty micro brews. It uses manufacturing cost hierarchy to allocate costs to various activities. During the past year, it has incurred: Cost Description $725,000 Product development costs $475,000 Materials handling costs $1,250,000 Production line labor costs $450,000 Production setup costs $250,000 Power costs (for cooling beer and running equipment) $875,000 Manufacturing facility management costs Using the manufacturing cost hierarchy, what is the total cost that would be classified as unit-level activity costs?
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