Q1. Which of the following is not a relevant value in this problem?
A)$10 = cost to complete units
B) $265 = former price
C) $125 = current price
D) $100 = price for partially completed unit
Q2. A company using activity based pricing marks up the direct cost of goods by 30% plus charges customers for indirect costs based on the activities utilized by the customer. Indirect costs are charged as follows: $8.00 per order placed; $4.00 per separate item ordered; $30.00 per return. A customer places 10 orders with a total direct cost of $3,000, orders 300 separate items, and makes 5 returns. What will the customer are charged?
A) $5,330
B) $3,000
C) $5,759
D) $3,900