Animal Gear Company makes two pet carriers, the Cat-allac and the Dog-eriffic. They are both made of plastic with metal doors, but the Cat-allac is smaller. Information for the two products for the month of April is given in the following tables: (Click the icon to view the information for the two products.) Animal Gear accounts for direct materials using a FIFO cost-flow assumption. (Click the icon to view the account information.) Animal Gear uses an activity-based costing system and classifies overhead into three activity pools: Setup, Processing, and Inspection. Activity rates for these activities are $105 per setup-hour, $10 per machine-hour, and $15 per inspection-hour, respectively. Other information follows: (Click the icon to view the other information.) Read the requirements. 25 9 Units per batch Number of batches 22 24 1.50 1.75 Setup time per batch x hrs. x hrs. 33 42 75 Total setup time hrs. hrs. hrs. Next, calculate the budgeted cost for each activity. Begin by determining the formula, then calculating the amount. The first cost is budgeted machine setup costs. Activity rate per setup hr. Total setup time Budgeted machine setup costs 105 x 75 Now determine the formula for budgeted processing costs, then calculate the cost. Budgeted Budgeted $ ( machine hrs.--Cat-allac + machine hrs.-Dog-errific ) Activity rate per machine hr. 5830 + 4275 ) x 7,875 = Budgeted processing costs =