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Hickory Company manufactures two products15,000 units of Product Y and 7,000 units of Product Z. The company uses a plantwide overhead rate based on direct

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Hickory Company manufactures two products15,000 units of Product Y and 7,000 units of Product Z. The company uses a plantwide overhead rate based on direct labor-hours. It is considering implementing an activity-based costing (ABC) system that allocates all of its manufacturing overhead to four cost pools. The following additional information is available for the company as a whole and for Products Y and Z: (The total estimated overhead cost may not agree with the sum of allocated overhead costs to each product.) Estimated Overhead Activity Cost Pool Activity Measure Cost Expected Activity Machining Machine-hours $ 227,700 11,000 MHS Machine setups Number of setups 270 setups Production design Number of products $91,000 2 products General factory Direct labor-hours $ 153,900 $257,000 10,000 DLHS Activity Measure Machining Number of setups Number of products Direct labor-hours Product Product Z 7,700 3,300 60 210 1 1 8,700 1,300 Required: What is the activity rate for the Machining activity cost pool? (Round your answer to 2 decimal places.) Activity rate per MH

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