Activity Rates Cinturas Company produces two types of men's shirts: casual and formal. There are four activities associated with the two products. Drivers for the four activities are as follows: Casual Formal Cutting hours 12,000 18,000 Sewing hours 3,000 7,000 Inspection hours 2,000 4,000 Rework hours 400 600 The following activity data have been collected: Cutting $90,000 Sewing 100,000 Inspecting 36,000 Reworking 20,000 Required: Calculate the activity rates that would be used to assign costs to each product. Cutting $ 0.4 0.7 Sewing $ X per Cutting hour X per Sewing hour per Inspecting hour Inspecting Reworking per Reworking hour