Sheridan Company uses three activity pools to apply overhead to its products. Each activity has a cost driver used to assign the overhead costs to the product. The activities and related overhead costs are as follows: product design $34,400; machining $256,250; and material handling $85,951. The cost drivers and estimated use are as follows.

Activity Cost

Pools

Activities

Estimated Use of

Cost Drivers per Activity

Product design

Number of product changes

10

Machining

Machine hours

125,000

Material handling

Number of set-ups

101

Calculate the predetermined overhead rate for each activity. (Round overhead rate for machining activity to 2 decimal places, e.g.

15.25.)

Activity

Overhead Rate

Product design

S

per product change

Machining

$

per machine hr.

Material handling

per set-up