Which of the following costs is the result of a facility-level activity? - Group of answer...

Which of the following costs is the result of a facility-level activity?

- Group of answer choices

- Both utility costs related to heating and lighting a manufacturing facility and the cost of landscaping the grounds for the manufacturing unit are correct

- The cost of landscaping the grounds for the manufacturing unit

- Costs associated with trademarks

- Utility costs related to heating and lighting a manufacturing facility

Tiger Mfg. Company allocates overhead based on direct labor hours. It allocates overhead costs of $12,800 to two different jobs as follows:

Job 1: (10 hours) = $6,400; Job 2: (10 hours) = $6,400

The production process for Job 2 was then automated. Now Job 2 requires only two hours of direct labor but four hours of mechanical processing. As a result, total overhead increases to $17,000. With the change in the production process for Job 2, the amount of overhead assigned to:

- Group of answer choices

- each product will decrease.

- Job 1 will increase.

- each product will increase.

- Job 1 will decrease.

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Expert Solution

ekkarill92 answered 1 year ago

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