One of Pintu Company's cost pools is parts administration. The budgeted overhead cost for that cost pool was - 4,00,000 and the expected activity…
CA Intermediate · Cost and Management Accounting · MTP · September 2024
One of Pintu Company's cost pools is parts administration. The budgeted overhead cost for that cost pool was - 4,00,000 and the expected activity was 4,000 part types. The actual overhead cost for the cost pool was - 4,20,000 at an actual activity of 5,000 part types. The activity rate for that cost pool was:
Suggested Answer and Working Notes:
Correct Answer: Option (B)
100 per part type
Topics: Budgets and Budgetary Control, Activity Based Costing
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