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QS 04-13 Computing activity rates LO P3 A manufacturer uses activity-based costing to assign overhead costs to products. Budgeted cost information for selected activities for
QS 04-13 Computing activity rates LO P3 A manufacturer uses activity-based costing to assign overhead costs to products. Budgeted cost information for selected activities for next year follows. Activity Expected cost Cost Driver Expected Usage of Cost Driver Purchasing $175,000 Purchase orders Cleaning factory 5,000 purchase orders 34,500 Square feet 5,500 square feet Providing utilities 74,950 Square feet 5,500 square feet Compute activity rates for each of the cost pools. (Round your answers to 2 decimal places.) Activity cost pool Expected Costs Activity Overhead Rate Expected Amount of Cost Driver 5,000 5,500 Purchasing Factory per purchase order per square foot
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