rate for design

rate for machining

rate for inspection

indirect cost for product a

indirect cost for product b

manufacturing cost for A

manufacturing for b

gross profit for a

gross profit for b

Walnut Systems produces two different products, Product A, which sells for $140 per unit, and Product B, which sells for $198 per unit, using three different activities: Design, which uses Engineering Hours as an activity driver; Machining, which uses machine hours as an activity driver, and Inspection, which uses number of batches as an activity driver. The cost of each activity and usage of the activity drivers are as follows: Design Engineering Hours) Machining Machine Hours) Inspection (Batches) Cost $164,406 $583,800 $ 25,650 Usage by Usage by Product Product B 200 309 1,130 3,040 38 16 Walnut manufactures 10,800 units of Product A and 6,600 units of Product B per month. Each unit of Product A uses $48 of direct materials and $20 of direct labor, while each unit of Product Buses $65 of direct materials and $26 of direct labor. Required: a. Calculate the activity rate for design, Rate for Design per hour b. Calculate the activity rate for machining, Rate for Machining per hour MacBook Pro