Question
Consumption Ratios; Activity Rates Saludable Company produces two types of get-well cards: scented and regular. Drivers for the four activities are as follows: Scented Cards
Consumption Ratios; Activity Rates
Saludable Company produces two types of get-well cards: scented and regular. Drivers for the four activities are as follows:
Scented Cards | Regular Cards | |||
Inspection hours | 120 | 100 | ||
Setup hours | 100 | 10 | ||
Machine hours | 200 | 610 | ||
Number of moves | 220 | 55 |
The following activity data has been collected:
Inspecting products | $4,920 |
Setting up equipment | 4,730 |
Machining | 6,440 |
Moving materials | 1,260 |
Required:1. Calculate the consumption ratios for the four drivers. Round your answers to two decimal places.
1. Calculate the consumption ratios for the four drivers. Round your answers to two decimal places.
Scented Cards | Regular Cards | |
Inspection hours | ||
Setup hours | ||
Machine hours | ||
Number of moves |
3.
Calculate the activity rates that would be used to assign costs to each product. Round your answers to the nearest cent.
Rates: | |
Inspecting products | 15 per inspection hour |
Setting up equipment | 16 per setup hour |
Machining | 17 per machine hour |
Moving materials | $18 per move |
4. Suppose that the activity rate for inspecting products is $20 per inspection hour. How many hours of inspection are expected for the coming year? If required, round your answer to nearest whole number of hours. fill in the blank 19 inspection hours
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