Reference no: EM132778062

Question - Columbus Company provides the following ABC costing information:

Activities Total Costs Activity-cost drivers

Labor $384,000 8,000 hours

Gas $36,000 6,000 gallons

Invoices $180,000 7,500 invoices

Total costs $600,000

The above activities used by their three departments? are:

Lawn Department Bush Department Plowing Department

Labor 2,500 hours 1,400 hours 4,100 hours

Gas 1,800 gallons 1,000 gallons 3,200 gallons

Invoices 1,300 invoices 300 invoices 5,900 invoices

Required - How much of invoice cost will be assigned to the Bush Department?

A. $141,600

B. $31,200

C. $7,200

D. $180,000