Home /
Expert Answers /
Accounting /
a-company-produces-numerous-blends-of-coffee-two-of-which-are-known-as-the-french-blend-and-the-i-pa789
(Solved):
A company produces numerous blends of coffee, two of which are known as the French Blend and the I ...
A company produces numerous blends of coffee, two of which are known as the French Blend and the Italian Blend. The company's ABC system divides its total manufacturing overhead of \( \$ 1,990,000 \) into four activity cost pools as shown below. Data regarding production of the French and Italian blends is as follows: Assume the company uses activity-based absorption costing. How much overhead cost would be assigned from the Purchasing activity to the Italian Blend based on its expected sales?
Multiple Choice \[ \$ 281,250 \] \[ \$ 6,025 \] \[ \$ 2,813 \] \[ \$ 5,625 \]