Viren Corporation has provided the following data from its activity-based costing system:

ECONOMICS

Multiple Choice

Viren Corporation has provided the following data from its activity-based costing system:


Activity Cost Pool



Total Cost



Total Activity



Assembly



$387,000



250,000 machine-hours



Processing orders



$68,510



1,700 orders



Inspection



$128,117



1,930 inspection-hours


The company makes 240 units of product T91H a year, requiring a total of 550 machine hours, 90 orders, and 40 inspection hours per year. The product's direct materials cost is $16.98 per unit,
and its direct labor cost is $12.09 per unit. According to the activity-based costing system, the average cost of product T91H is closest to per unit.
A. $29.07
B. $90.81
C. $75.70
D. $79.66

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