Adirondack Corporation is estimating activity costs associated with producing two different sized e-reader tablets. The indirect labor can be traced to three separate activity pools. The budgeted activity cost and activity base information, along with the estimated activity-base information, is provided below. ActivityCost Activity Base

Purchasing $100,000 Number of purchase orders

Materials handling 500,000 Number of moves

Production 1,500,000 Machine hours

TOTAL $2,100,000

Number of PurchaseOrders;Number ofMoves; MachineHours; Number of Units

7 tablet 4,000 1,400 2,000 2,500

10" tablet 4,000 800 8,000 3,500

TOTALS 8,000 2,200 10,000 6,000

Required:Determine the Activity rate for each activity cost pool. All work must be shown for credit.

Please label your answer as the activity rate for:Purchasing; Materials handling; & Production.

Use the following chart (as a guide) to determinethe activity cost per tablet:

All work must be shown for credit.

	A	B	C	D	E	F	G
1		7 inch tablet	10 inch tablet
2	Activity	Activity-Base Usage	Activity Rate	Activity = Cost	Activity- Base Usage	Activity Rate	Activity = Cost
3	Purchasing
4
5						]
6
7
8	Activity cost per tablet