Question 1(Total: 20 marks)

For its overhead costs, the wholesale distributor Janz Company uses activity-based costing. In terms of the company's annual overhead costs and its activity-based costing system the following data has been provided:

Overhead Costs:

Wages and salaries

$380,000

Non-wage expenses

90,000

Total

$470,000

Distribution of Resource Consumption:

Activity Cost Pools

Filling Orders

Product Support

Other

Total

Wages and salaries

20%

65%

15%

100%

Non-wage expenses

15%

60%

25%

100%

The "Other" activity cost pool consists of the costs of idle capacity and organization-sustaining costs. Shown below is the amount of activity for the year:

Activity Cost Pool

Annual Activity

Filling orders

3,100 orders

Product support

32 products

Other

Not applicable

Required:

Compute the activity rates for the Filling Orders and Product Support activity cost pools