Atlas Enterprises Inc. manufactures elliptical exercise machines and treadmills. The products are produced in its Fabrication...

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Atlas Enterprises Inc. manufactures elliptical exercise machines and treadmills. The products are produced in its Fabrication and Assembly production departments. In addition to production activities, several other activities are required to produce the two products. These activities and their associated activity rates are as follows: Activity Activity Rate Fabrication $34 per machine hour Assembly $14 per direct labor hour Setup Inspecting $46 per setup $26 per inspection Production scheduling Purchasing $14 per production order $8 per purchase order The activity-base usage quantities and units produced for each product were as follows: Elliptical Activity Base Machines Treadmills Machine hours 663 415 Direct labor hours 180 78 21 9 Setups Inspections 119 181 Production orders 16 9 Atlas Enterprises Inc. manufactures elliptical exercise machines and treadmills. The products are produced in its Fabrication and Assembly production departments. In addition to production activities, several other activities are required to produce the two products. These activities and their associated activity rates are as follows: Activity Activity Rate Fabrication $34 per machine hour Assembly $14 per direct labor hour Setup Inspecting $46 per setup $26 per inspection Production scheduling Purchasing $14 per production order $8 per purchase order The activity-base usage quantities and units produced for each product were as follows: Elliptical Activity Base Machines Treadmills Machine hours 663 415 Direct labor hours 180 78 21 9 Setups Inspections 119 181 Production orders 16 9