Garfield Inc. manufactures entry and dining room lighting fixtures. Five activities are used in manufacturing the fixtures. These activities and their associated budgeted activity costs and activity bases are as follows:

	Budgeted
Activity	Activity Cost	Activity Base
Casting	$130,254	Machine hours
Assembly	54,986	Direct labor hours
Inspecting	18,870	Number of inspections
Setup	35,400	Number of setups
Materials handling	24,710	Number of loads

Corporate records were obtained to estimate the amount of activity to be used by the two products. The estimated activity-base usage quantities and units produced follow:

Activity Base	Entry	Dining	Total
Machine hours	2,844	987	3,831
Direct labor hours	804	2,090	2,894
Number of inspections	807	303	1,110
Number of setups	177	59	236
Number of loads	481	225	706
Units produced	6,192	2,127	8,319

Required:

Complete the Activity Table for entry lighting and dining room lighting fixtures.

a.

Determine the activity rate for each activity. Enter these rates in the Activity Rate columns.

b.

Use the activity rates in (a) to determine the total and per-unit activity costs associated with each product. Round the per-unit rates to the nearest cent.

Complete the Activity Table for entry lighting fixtures.

a.	Determine the activity rate for entry lighting activity. Enter these rates in the Activity Rate column.
b.	Use the activity rates in (a) to determine the total and per-unit activity costs associated with entry lighting product. Round the per-unit rates to the nearest cent.

Entry Lighting Fixtures

Activity

Activity-

Base

Activity

Activity

Usage

X

Rate

=

Cost

Casting

Assembly

Inspecting

Setup

Materials handling

Total activity cost

Number of units

Activity cost per unit

Complete the Activity Table for dining room lighting fixtures.

a.	Determine the activity rate for dining room lighting activity. Enter these rates in the Activity Rate column.
b.	Use the activity rates in (a) to determine the total and per-unit activity costs associated with dining room lighting product. Round the per-unit rates to the nearest cent.

	Dining Room Lighting Fixtures
Activity	Activity-
	Base		Activity		Activity
	Usage	X	Rate	=	Cost
Casting
Assembly
Inspecting
Setup
Materials handling
Total activity cost
Number of units
Activity cost per unit