a) Hopeful Co. Provided the Following Estimated Yearly Data for it's Activity Based Costing System for All Products:

Activity Cost Pool Total Cost Total Activity

Assembly $420,000 35,000 Machine Hours

Processing Orders $33,000 1,000 Orders

Inspection $105,750 1,410 Inspection Hours

Actual Data for One Product:

Selling Price Per Unit $90

Direct Material Cost Per Unit $16

Direct labor Cost Per Unit $13

Annual Unit Production and Sales 300

Actual Annual Machine Hours 800

Actual Annual Orders 50

Actual Annual Inspection Hours 30

What is the Activity Rate For EACH Activity:

Select one:

A. Assembly $14; Processing Orders $33; and Inspection $75

B. Assembly $12; Processing Orders $35: and Inspection $75

C. Assembly $12; Processing Orders $33; and Inspection $75

D. Assembly $12; Processing Orders $30; and Inspection $70

b) Use the information in Question 1 above calculate UNIT PRODUCT COST UNDER ACTIVITY BASED COSTING

Select one:

a. $70

b. $74

c. $65

d. 60

c) Use Information from Questions 1 and 2 to calculate Total Product Margin Under Activity Based Costing

Select one:

a. $4,000

b. $3800

c. $3600

d. $4800