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Consumption Ratios Activity Rates Saludable Company produces two types of get-well cards santed and regular Drivers for the four activities are as follows: Scented Cards

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Consumption Ratios Activity Rates Saludable Company produces two types of get-well cards santed and regular Drivers for the four activities are as follows: Scented Cards Regular Cards Inspection hours 130 90 Setup hours 90 10 Machine hours 170 650 Number of moves 215 75 The following activity data has been collected: Inspecting products 54,900 Setting up equipment 4,820 Machining 6,330 Moving materials 1,290 Required: 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 2. Which of the following statements indicate there is product diversity? Explain the significance of product diversity for decision making if the company chooses to use machine hours to sign all overhead 2. Which of the following statements indicate there is product diversity? explain the indicance of product diversity for decision making in the company choose to use machine hours to sign toveren. If machine hours are used as the only driver cards would receive 21 of the overhead, and cards consume well over 50% of the non machine related overhead. Thus, the scented cards we This inconcanaveraly affect many decisions, ududing pricing, keep or drop, and costumeprot. 3. Calculate the activity rates that would be used to astion costs to each product Round your answers to the nearest cent cards would receive 79% of the overhaut, the and the Regular care are Rates: Inspecting products per inspection hour Setting up equipment per setup hour Machining per machine hour Moving materials 4. Suppose that the activity rate for inspecting products is $20 per inspection hout. How many hours of inspection are expected for the coming year roured, round your answer to narest whole number of hours. Inspection hours per move

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