Q2

Budgeted Quantity of Activity Budgeted Cost Cost Driver Material handling $28,000 1,000 material moves Machining 110,000 10,000 machine hours Inspections 54,000 6,000 inspections Total $192,000 (a) Calculate Vaughn's plant-wide MOH rate if allocations are based on machine hours. (Round answer to 2 decimal places, e.g. 15.25.) Plant-wide MOH rate $ machine hour (b) Calculate activity rates for each key activity. Activity rate Material handling to /material move Machining to /machine hour Inspections tA /inspection