Product costs using activity rates

Endurance Enterprises 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	$30 per machine hour
Assembly	$15 per direct labor hour
Setup	$50 per setup
Inspecting	$25 per inspection
Production scheduling	$15 per production order
Purchasing	$10 per purchase order

The activity-base usage quantities and units produced for each product were as follows:

Elliptical
Activity Base	Machines	Treadmills
Machine hours	800	500
Direct labor hours	210	90
Setups	24	10
Inspections	140	160
Production orders	20	10
Purchase orders	85	60
Units produced	300	160

Complete the Activity Table for elliptical machines. Use the activity rate and usage information to calculate the total activity cost and activity cost per unit for each product. If required, round per-unit answers to the nearest cent.

Elliptical Machines
Activity	Activity-
	Base		Activity		Activity
	Usage	X	Rate	=	Cost
Fabrication
Assembly
Setup
Inspecting
Production scheduling
Purchasing
Total activity cost
Number of units
Activity cost per unit

Complete the Activity Table for treadmills. Use the activity rate and usage information to calculate the total activity cost and activity cost per unit for each product. If required, round per-unit answers to the nearest cent.

Treadmills
Activity	Activity-
	Base		Activity		Activity
	Usage	X	Rate	=	Cost
Fabrication
Assembly
Setup
Inspecting
Production scheduling
Purchasing
Total activity cost
Number of units
Activity cost per unit