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Panamint Systems Corporation is estimating activity costs associated with producing disk delves, tapes drives, and wire drives. The Indirect labor can be traced to four

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Panamint Systems Corporation is estimating activity costs associated with producing disk delves, tapes drives, and wire drives. The Indirect labor can be traced to four separate activity pools. The budgeted activity cost and activity base data by product are provided below. Procurement Scheduling Materials handling Activity Cost Activity Base $369,700 Number of purchase orders 219,700 Number of production orders 471,200 Number of moves 723,800 Number of engineering changes 1.548,700 Machine hours Product development Production Number of Purchase Orders Number of Production Orders Number of Moves Number of Engineering Changes Machine Hours Number of Units Disk drives 420 1,260 12 4,170 2,100 1,500 Tape drives 1,700 165 5 620 9,800 10,200 3,800 3,000 Wire drives 11,600 930 3,900 25 The activity rate for the procurement activity cost pool is Da, $244.05 per purchase order Ob. 521.16 per purchase order Oc. 570.05 per purchase order Od. 5145.02 per purchase order

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