Activity Rates 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 2,400 2,850 650 Vaquera 5,400 4,650 Cutting hours Assembly hours Inspection hours Rework hours 2,430 The following activity data have been collected: Cutting Assembling $218,400 $125,000 $67,760 $42,250 Inspecting Reworking Required: Calculate the activity rates that would be used to assign costs to each product. If required, round your answers to the nearest cent. Cutting: $ per cutting hour Assembling: si p er assembling hour Inspecting: per inspecting hour Reworking: per reworking hour Calculating ABC Unit Costs Perkins National Bank has collected the following information for four activities and two types of credit cards: Activity Driver Classic 12,000 Gold 7,200 Activity Rate ($) 0.20 Processing transactions Transactions processed Preparing statements Number of statements 0.95 Answering questions Number of calls 12,000 7,200 24,000 36,000 48,000 14,400 4.00 Providing ATMs ATM transactions There are 4,800 holders of Classic cards and 20,000 holders of the Gold cards. Required: Calculate the unit cost (rounded to the nearest cent) for Classic and Gold credit cards. Unit cost for Classic $ 35 8.30 x x Unit cost for Gold Foodback Check My Work Determine the unit cost per product by dividing the total cost by the number of units. The first step is to total all costs by product using the activity driver and rate