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Instructions The total factory overhead for Diva-nation is budgeted for the year at $179,941, divided into four activities: cutting, $18,560; sewing, $34,319; setup, $95,749; and
Instructions The total factory overhead for Diva-nation is budgeted for the year at $179,941, divided into four activities: cutting, $18,560; sewing, $34,319; setup, $95,749; and inspection, $31,313. Diva-nation manufactures two types of men's pants: jeans and khakis. The activity-base usage quantities for each product by each activity are as follows: Cutting Seing Setup Inspection Jeans 795 dlh 1,225 dlh 1,250 setups 3,020 inspections Khakis 1,190 830 995 1,990 1,985 dlh 2,055 dlh 2,245 setups 5,010 inspections Each product is budgeted for 21,000 units of production for the year Required: Complete the Activity Tables for jeans and khakis. A. Determine the activity rates for each activity. Enter these rates in the Activity Rate columns.* B. Use the activity rates in (A) to determine the activity-based factory overhead per unit for each product.* * When required, round all per-unit and activity rate answers to the nearest cent
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