Activity Rates and Product Costs using Activity Based Costing Setup Lonsdale Inc. manufactures entry and dining room lighting fixtures. Five activities are used in manufacturing the fixtures. These activities and their associated budgeted activity costs and activity bases are as follows: Budgeted Activity Activity Cost Activity Base Casting $287,560 Machine hours Assembly 163,940 Direct labor hours Inspecting 23.900 Number of inspections 45,880 Number of setups Materials handling 45,580 Number of loads Corporate records were obtained to estimate the amount of activity to be used by the two products. The estimated activity-base usage quantities and units produced follow: Activity Base Entry Dining Total Machine hours 5,440 4,830 10,270 Direct labor hours 4,680 7.030 11.710 Number of inspections 1,660 520 2.180 Number of setups 250 50 310 Number of loads 840 220 1,060 Units produced 10,800 5,400 16,200 a. Determine the activity rate for each activity. If required, round the rate to the nearest dollar. ke Assignment/take AssignmentMain.do?irwoker=&takeAssignmentSession... ? Machine hours 5,440 4,830 10,270 Direct labor hours 4,680 7,030 11,710 Number of inspections 1,660 520 2,180 Number of setups 250 60 310 Number of loads 840 220 1,060 Units produced 10,800 5,400 16,200 a. Determine the activity rate for each activity. If required, round the rate to the nearest dollar. Activity Activity Rate Casting per machine hour Assembly per direct labor hour Inspecting per inspection Setup per setup Materials handling per load b. Use the activity rates in (a) to determine the total and per-unit activity costs associated with each product. Round the per unit amounts to the nearest cent. Product Total Activity Cost Activity Cost Per Unit Entry Lighting Fixtures Dining Room Lighting Fixtures Previous 52 PM 3/7/2 O