Real Life Examples

Timpanogas Cycling produces two versions of a mountain bike: a standard and deluxe model. The standard model has an aluminum frame and entry$-$level components. The deluxe model has a carbon frame and upgraded components. At the beginning of the year, the following data were prepared for Timpanogas Cycling:

$\backslash$table$[[,$Standard Model,Deluxe Model$],[$Expected quantity,$10,000,5,000],[$Selling price,$$800,$$$1,800$

$1.$ Calculate te activity rates for each activity. $($ round to tge nearest tenth$)$

$2.$ Using the rates determined in the previous question, determine tge total cost per unit using activity based costing. $($Round final answers, for each unit, to the nearest tenth$)$