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Required information [The following information applies to the questions displayed below.) Hickory Company manufactures two products15,000 units of Product Y and 7,000 units of Product
Required information [The following information applies to the questions displayed below.) Hickory Company manufactures two products15,000 units of Product Y and 7,000 units of Product Z. The company uses a plantwide overhead rate based on direct labor-hours. It is considering implementing an activity- based costing (ABC) system that allocates all $674,000 of its manufacturing overhead to four cost pools. The following additional information is available for the company as a whole and for Products Y and Z: Activity Cost Pool Machining Machine setups Product design General factory Activity Measure Machine-hours Number of setups Number of products Direct labor-hours Estimated Overhead Cost $ 216,700 $ 79,900 $ 81,000 $ 296,400 Expected Activity 11,000 MHS 170 setups 2 products 13,200 DLHS Activity Measure Machine-hours Number of setups Number of products Direct labor-hours Product Y Product Z 6,700 4,300 60 110 1 1 7,700 5,500 4. What is the activity rate for the Machine Setups activity cost pool? Activity rate per setup 5. What is the activity rate for the Product Design activity cost pool? Activity rate per product 6. What is the activity rate for the General Factory activity cost pool? (Round your answer to 2 decimal places.) Activity rate per DLH
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