Product costs using activity rates

Friedman.com Inc. sells consumer electronics over the Internet. For the next period, the budgeted cost of the sales order processing activity is $$87,200,$ and $10,900$ sales orders are estimated to be processed.

a$.$ Determine the activity rate of the sales order processing activity.

$5$ per sales order

b$.$ Determine the amount of sales order processing cost associated with $6,200$ sales orders.

$5$