altex Inc manufactures two products: car wheels and truck wheels.

Attempt History Current Attempt in Progress Altex Inc. manufactures two products: car wheels and truck wheels. To determine the amount of overhead to assign to each product line, the controller, Robert Hermann, has developed the following information. Car Estimated wheels produced Direct labor hours per wheel 39,000 Truck 11,000 3 1 Total estimated overhead costs for the two product lines are $835,200. (a1) Your answer is correct. Calculate overhead rate. (Round answer to 2 decimal places, e.g. 12.25.) Overhead rate $ 11.60 per direct labor hour Hermann is not satisfied with the traditional method of allocating overhead because he believes that most of the overhead costs relate to the truck wheels product line because of its complexity. He therefore develops the following three activity cost pools and related cost drivers to better understand these costs. Estimated Overhead Costs Activity Cost Pools Setting up machines Assembling Inspection Estimated Use of Cost Drivers 1,000 setups 72,000 labor hours 1,200 inspections $216,000 360,000 259,200 Compute the activity-based overhead rates for these three cost pools. Overhead Rates $ Setting up machines Assembling $ $ Inspection e Textbook and Media F7