Office 365 ebook Product costs using activity rates Hercules Inc., manufactures elliptical exercise machines and treadmills. The products are produced in its Fabrication and Assembly production departments. In addition to production activities, several other activities are required to produce the two products. These activities and their associated activity rates are as follows: Activity Activity Rate Fabrication $25 per machine hour Assembly $31 per direct labor hour Setup $94 per setup Inspecting $18 per inspection Production scheduling $17 per production order Purchasing 58 per purchase order The activity base usage quantities and units produced for each product were as follows: Activity Base Elliptical Machines Treadmill Machine hours 800 550 Direct labor hours 156 Setups Inspections 48 Production orders 30 25 Purchase orders 346 115 Units produced 500 350 This information has been collected in the Microsoft Excel Online file Open the spreadsheet, perform the required analysis, and input your answers in the question below. Previous Next > Open spreadsheet Use the activity rate and usage information to calculate the total activity cost and activity cost per unit for each product. If required, round the per unit answers to the nearest cent Total Activity Cost Activity Cost Per Unit Elliptical Machines Treadmill Activity rates and product costs using activity-based costing Lonsdale Inc, manufactures entry and dining room lighting foxtures. 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 5432,000 Machine hours Assembly 114,000 Direct labor hours Inspecting 36,000 Number of inspections Setup 46,000 Number of setups Materials handling 20,700 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 5.680 12,320 18,000 Direct labor hours 3,600 2,400 6,000 Number of inspections 570 430 1,000 Number of setups 300 200 500 Number of loads 200 700 900 Units produced 2,600 4,900 7,500 This information has been collected in the Microsoft Excel Online file. Open the spreadsheet, perform the required analysis, and input your answers in the questo Units produced 2,600 4,900 7,500 This information has been collected in the Microsoft Excel Online file. Open the spreadsheet, perform the required analysis, and input your answers in the questions belo HUHT Open spreadsheet a. Determine the activity rate for each activity. If required, round the rate to the nearest dollar Activity Activity Rate Casting $ 31 Xper machine hour Assembly $ per direct labor hour Inspecting $ per inspection 5 per setup Setup Materials handling $ per load 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. Product Total Activity Cost Activity Cost Per Unit $ $ Entry Lighting Fixtures Dining Room Lighting Fixtures $ S