Question
Rustafson Corporation is a diversified manufacturer of consumer goods. The company's activity-based costing system has the following seven activity cost pools: Activity Cost Pool Estimated
Rustafson Corporation is a diversified manufacturer of consumer goods. The company's activity-based costing system has the following seven activity cost pools: Activity Cost Pool Estimated Overhead Cost Expected Activity Labor-related $ 25,200 2,000 direct labor-hours Machine-related $ 5,000 5,000 machine-hours Machine setups $ 18,000 500 setups Production orders $ 29,400 700 orders Product testing $ 23,000 1,000 tests Packaging $ 84,000 3,500 packages General factory $ 60,000 2,000 direct labor-hours
Exercise 4-2 Part 1 (Algo) Required: 1. Compute the activity rate for each activity cost pool. (Round your answers to 2 decimal places.)
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