Matt Company uses activity-based costing. The company has two products: A and B. The annual production and sales of Product A is 8,000 units and of Product B is 6,000 units. There are three activity cost pools, with estimated total cost and expected activity as follows:
Expected Activity
Activity cost pool
Estimated cost
Product A
Product B
Activity 1
$20,000
100
400
Activity 2
$37,000
800
200
Activity 3
$91,200
800
3800
The cost per unit of Product A under activity-based costing is closest to: (write the figure only)
i calculated the answer should be 6.6 or 6.2 but both answer also wrong... anyone can help me... tq