Refer to the information for Zapato Company given above.

Zapato Company produces two types of boots: vaquero and vaquera. There are four activities associated with the two products. Drivers for the four activities are as follows:

Vaquero Vaquera

Cutting hours...............4,000.....................5,400

Assembly hours............2,850.....................4,650

Inspection hours..............945.....................2,430

Rework hours.................150........................450

Required:

1. Calculate the consumption ratios for the four drivers (round to two decimal places).

2. Is there evidence of product diversity? Explain.