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Chan Company identified the following activities, costs, and activity drivers for 2017. The company manufactures two types of go-karts: fast and standard Expected Costs Expected
Chan Company identified the following activities, costs, and activity drivers for 2017. The company manufactures two types of go-karts: fast and standard Expected Costs Expected Activity Activity Handling materials Inspecting product Processing purchase orders Paying suppliers Insuring the factory Designing packaging $625,000 100,000 parts 900,000 105,000 175,000 300,000 75,000 1,500 batches 700 orders 500 invoices 40,000 square feet 2 models Compute the overhead activity rate for each activity, assuming the company uses activity-based costing. (Round your answers to 2 decimal places.) Expected Costs Activity Handling materials Inspecting product Processing purchase Expected ActivityActivity Rate S 625,000 100,000 parts 900,000 1,500 batches 105,000 175,000 300,000 40,000 square feet 700 |orders orders Paying suppliers Insuring factory Designing packaging 500 invoices 75,000 $ 2,180,000 2 models
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