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Save & Exit Washington, Inc. produces two different products (Product C and Product 2) using two different activities: Machining, which uses machine hours as an
Save & Exit Washington, Inc. produces two different products (Product C and Product 2) using two different activities: Machining, which uses machine hours as an activity driver, and Inspection, which uses number of batches as an activity driver. The cost of Machining is $750,000, while the cost of Inspection Is $90,000. The activity drivers are used as follows: Machine hours Product C 1,000 Product 2 Total 45 3,000 15 4,000 60 Number of batches What is the activity rate for Machining? Multiple Choice $187.50 per machine hour $166 67 per machine hour $250.00 per machine hour $5750.00 per machine hour Help Save & Exit
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