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Supporting direct labor $ 7 per direct labor-hour Machine processing $ 4 per machine-hour Machine setups $ 45 per setup Production orders $ 160 per

Supporting direct labor $ 7 per direct labor-hour Machine processing $ 4 per machine-hour Machine setups $ 45 per setup Production orders $ 160 per order Shipments $ 110 per shipment Product sustaining $ 900 per product Activity data have been supplied for the following two products: Total Expected Activity K425 M67 Number of units produced per year 200 2,000 Direct labor-hours 925 50 Machine-hours 2,400 40 Machine setups 17 2 Production orders 17 2 Shipments 34 2 Product sustaining 2 2

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