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Activity rates and product costs using activity-based cost Idris Inc. manufactures entry and dining room lighting fixtures. Five activities are used in manufacturing the fixtures.
Activity rates and product costs using activity-based cost Idris 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: Activity Casting Assembly Inspecting Budgeted Activity Cost Activity Base Machine hours Direct labor hours Number of inspections Number of setups Number of loads Units produced Setup Materials handling 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 Casting Assembly $242,060 212,200 43,010 51,300 38,640 Check My Work Activity Base Machine hours Direct labor hours Number of inspections Number of setups Number of loads Entry 4,930 4,240 1,920 310 660 Dining 4,380 6,370 610 70 180 Total 9,310 10,610 2,530 380 840 9,800 4,900 a. Determine the activity rate for each activity. If required, round the rate to the nearest dollar. Activity Rate 14,700 per machine hour per direct labor hour All work caved Email Instructor Save and Exit Previous Next > Submit Assignment for Grading
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