Homework SourseFogle Florist specializes in large floral bouquets for hotel
Fogle Florist specializes in large floral bouquets for hotels and other commercial spaces. The company has provided the following data concerning its annual overhead costs and its activity based costing system:
$264,000
The \"Other\" activity cost pool consists of the costs of idle capacity and organization-sustaining costs.
What would be the total overhead cost per bouquet according to the activity based costing system? In other words, what would be the overall activity rate for the making bouquets activity cost pool? (Round to the nearest whole cent.)
$1.20 per bouquets
$1.15 per bouquets
$1.05 per bouquets
$1.13 per bouquets
| Fogle Florist specializes in large floral bouquets for hotels and other commercial spaces. The company has provided the following data concerning its annual overhead costs and its activity based costing system: |
Solution
Working:
| Overhead cost per boubuet | $1.15 |
