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Exercise 4-2 Compute Activity Rates [LO4-2] The following information applies to the questions displayed below.] Rustafson Corporation is a diversified manufacturer of consumer goods. The
Exercise 4-2 Compute Activity Rates [LO4-2] The following information applies to the questions displayed below.] Rustafson Corporation is a diversified manufacturer of consumer goods. The company's activity-based costing system has the following seven activity cost pools: Estimated Overhead Expected Activity 5,000 direct labor-hours 9,000 machine-hours Activity Cost Pool Cost 26,800 $ 4,500 Labor-related Machine-related Machine setups Production orders Product testing Packaging General factory 1,100 setups 41,800 $ 17,000 15,500 51,000 52,400 500 orders 500 tests 3,400 packages 5,000 direct labor-hours Exercise 4-2 Part 1 Required: 1. Compute the activity rate for each activity cost pool. (Round your answers to 2 decimal places.) Activity Rate Activity Cost Pool per DLH Labor-related Machine-related per MH per setup Machine setups Production orders per order Product testing per test Packaging per package General factory per DLH
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