Question 2

Required information A Direct materials per unit $ 31. 80 $ 63.30 Part 2 of 2 Direct labor per unit $ 10.00 $ 27.00 Direct labor-hours per unit 0.20 1. 00 Annual production (units) 45, 600 21, 100 1 points Estimated Activities and Overhead Activity Measures Cost Supporting direct labor (DLHs) $ 695, 060 eBook Setting up machines (setups) 551, 702 Parts administration (part types) 386, 224 Print Total $1, 632, 986 References Expected Activity Product A Product B Total DLHs 9 , 120 21, 100 30 ,220 Setups 1, 450 1, 024 2,474 Part types 677 279 956 Knowledge Check 01 When manufacturing overhead is applied to each unit of product B, what is the activity rate that will be used for the setting machines (setup) activity cost pool? Mc