Klamath Corp. produces two products: saws and drills. Three activities are used in their manufacture. These activities and their associated costs and bases are as follows: Activity Stamping Assembly Setup Activity Base Machine hours Labor hours Number of setups Units produced Stamping Assembly Budgeted Costs Saws $ $200,000 400,000 30,000 $ Saws 4,000 7,000 3 500 a. Determine the activity rate for each activity. per machine hour per labor hour Activity Base Machine hours Labor hours Number of setups Drills 6,000 13,000 per unit 12 600 Setup per setup b. Determine the factory overhead to be allocated to each unit of product. Round your answers to two decimal places, if necessary. Total 10,000 20,000 15

Klamath Corp. produces two products: saws and drills. Three activities are used in their manufacture. These activities and their associated costs and bases are as follows: a. Determine the activity rate for each activity. \begin{tabular}{ll} Stamping & per machine hour \\ Assembly & per labor hour \\ Setup & per setup \end{tabular} b. Determine the factory overhead to be alfocated to each unit of product. Round your answers to two decimal places, if necessary. Saws Der unit