supplies.
indirect salaries.
freight-out.
depreciation.
Multiple Choice Question 71
Boswell Company manufactures two products, Regular and Supreme.
Boswell’s overhead costs consist of machining, $3,000,000; and
assembling, $1,500,000. Information on the two products is:
Regular Supreme
Direct labor hours
10,000 15,000
Machine hours 10,000 30,000
Number of parts
90,000 160,000
Overhead applied to Supreme using activity-based costing is
$2,700,000.
$1,800,000.
$3,210,000.
$1,290,000.