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Chipman Inc. produces water pumps. Overhead costs have been identified as follows: Activity Pool Material handling Material maintenance Setups Cost $ 63,345.00 $109,800.00 $
Chipman Inc. produces water pumps. Overhead costs have been identified as follows: Activity Pool Material handling Material maintenance Setups Cost $ 63,345.00 $109,800.00 $ 86,181.00 Activity Driver Number of moves Number of machine hours Number of production runs Activity 410 36,600 69 Chipman makes 3 models of pumps with the following details: Economy Standard Premium Units produced 10,170 Number of moves 110 Machine hours 9,950 Production runs 23 20,900 133 20,100 11 3,525 167 6,550 35 Required: a. Calculate the activity rate for each activity. (Round your answers to 2 decimal places.) Activity Pool Activity Rate Material Handling Material Maintenance Setups b. Determine the amount of indirect costs assigned to each of the products. (Do not round your intermediate calculations. Round your answers to 2 decimal places.) Models Cost Economy Standard Premium
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