1) Mohs Company LLC uses an activity-based costing system
with three activity cost pools. The company has provided the
following data concerning its costs:
Costs:
Wages and salaries $360,000
Depreciation 100,000
Utilities 120,000
Total $580,000
The distribution of resource consumption across the three
activity cost pools is given below:
Activity Cost Pools
Assembly Setting Up Other Total
Wages and salaries 50% 40% 10% 100%
Depreciation 10% 45% 45% 100%
Utilities 5% 60% 35% 100%
How much cost, in total, would be allocated in the first-stage
allocation to the Other activity cost pool?
A) $123,000
B) $174,000
C) $58,000
D) $203,000
