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Panamint Systems Corporation is estimating activity costs associated with producing disk drives, tapes drives, and wire drives. The indirect labor ca be traced to four
Panamint Systems Corporation is estimating activity costs associated with producing disk drives, tapes drives, and wire drives. The indirect labor ca be traced to four separate activity pools. The budgeted activity cost and activity base data by product are provided below Activity Ras Actvity Cost 370,000Number of purchase orders 50,000 Number of production orders 500,000 730,000 Number of engineering changes Number of moves Maberials handing Product development 1,500,000 Machine hours Number of Number of Number Number of Purchase Production of Engineering Machine Disk drives 300 Tape drives Wire drives 10 800 0 4,00025 8,0004000 10,000 Determine the activity rate for materials handling per move. $80.65 b.158 82 d $20.83 Previous ext for Grading 0
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