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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

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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 $30 per machine hour Assembly $33 per direct labor hour Setup $91 per setup Inspecting $25 per inspection Production scheduling $24 per production order Purchasing $15 per purchase order 350 242 The activity base usage quantities and units produced for ead'I product were as follows: Activity Base Elliptical Machines Treadmill Machine hours 600 Direct labor hours 195 Setups 50 SO 28 38 Inspections Production orders 50 45 320 81 Purchase orders 480 340 Units produced This information has been collected in the Microsoft Excel Online nile. Open the spreadsheet, perform the required analysis and input your answers in the question 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 Elliptical Machines Activity Cost Per Unit Treadmill

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