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Chrzan, Inc., manufactures and sells two products: Product E0 and Product N0. Data concerning the expected production of each product and the expected total direct

Chrzan, Inc., manufactures and sells two products: Product E0 and Product N0. Data concerning the expected production of each product and the expected total direct labor-hours (DLHs) required to produce that output appear below: Expected Production Direct Labor-Hours Per Unit Total Direct Labor-Hours Product E0 490 10.9 5341 Product N0 1950 9.9 19,305 Total direct labor-hours 24,646 The company is considering adopting an activity-based costing system with the following activity cost pools, activity measures, and expected activity: Estimated Expected Activity Activity Cost Pools Activity Measures Overhead Cost Product E0 Product N0 Total Labor-related DLHs $ 305,890 5341 19,305 24,646 Production orders orders 65,087 1250 1350 2600 General factory MHs 589,366 5950 5650 11,600 $ 960,343 The activity rate for the General Factory activity cost pool under activity-based costing is closest to: Question 1 options: $25.03 per MH $15.85 per MH $38.97 per MH $50.81 per MH

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