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ctivity cost pools, activity rates, and product costs using activity - based costing Caldwell Home Appliances Inc. is estimating the activity cost associated with producing

ctivity cost pools, activity rates, and product costs using activity-based costing
Caldwell Home Appliances Inc. is estimating the activity cost associated with producing ovens and refrigerators. The indirect labor can be traced into four separate activity pools, based on time records provided by the employees. The budgeted activity cost and activity-base information are provided as follows:
Activity Budgeted
Activity Cost
Activity Base
Procurement $12,600 Number of purchase orders
Scheduling 90,000 Number of production orders
Materials handling 11,000 Number of moves
Product development 50,000 Number of engineering changes
Total cost $163,600
The estimated activity-base usage and unit information for two product lines was determined as follows:
Product Number of
Purchase Orders Number of
Production Orders Number of
Moves Number of
Engineering Change Orders
Units
Ovens 400800300801,000
Refrigerators 300400200120500
Totals 7001,2005002001,500
a. Determine the activity rate for each activity cost pool.
Procurement (per purchase order) fill in the blank 1 of 4$
Scheduling (per production order) fill in the blank 2 of 4$
Materials handling (per move) fill in the blank 3 of 4$
Product development (per engineering change order) fill in the blank 4 of 4$
b. Determine the activity-based cost per unit of each product. Round the per unit rates to the nearest cent.
Ovens fill in the blank 1 of 2$
per unit
Refrigerators fill in the blank 2 of 2$
per unit

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