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Dalrymple Company produces a special spray nozzle. The budgeted indirect total cost of inserting the spray nozzle is $ 12 comma 500. The budgeted number of nozzles to be inserted is 10 comma 000. What is the budgeted indirect cost allocation rate for this​ activity?

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abiolataiwo2015

Answer:

$1.2

Explanation:

Budgeted indirect total cost/ budgeted number of nozzles .

$12,000/$10,000

$1.2

Therefore the budgeted indirect cost allocation rate for this​ activity is $1.2

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