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Fogerty Company makes two products-Hubs and Sprockets. Data regarding the two products follow: Additional information about the company follows: a. Hubs require $21 in direct
Fogerty Company makes two products-Hubs and Sprockets. Data regarding the two products follow: Additional information about the company follows: a. Hubs require $21 in direct materials per unit, and Sprockets require $10. b. The direct labor wage rate is $12 per hour. c. Hubs are more complex to manufacture than Sprockets and they require special processing. d. The company's activity-based absorption costing system has the following activity cost pools: Required: 1. Compute the activity rate for each activity cost pool. 2. Compute the unit product cost for Hubs and Sprockets using activity-based absorption costing
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