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Sweet Sugar Company manuractures three products (white sugar, brown sugar, and powdered sugar) In a continuous production process. Senlor management has asked the controller to

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Sweet Sugar Company manuractures three products (white sugar, brown sugar, and powdered sugar) In a continuous production process. Senlor management has asked the controller to conduct an activity-based costing study. The controller identified the amount of factory overhead required by the critical activities of the organization as follows: Budgeted Activity Cost Activity Production $446,600 Setup 219,000 Inspection 69,300 Shipping 133,200 50,000 Customer service $918,100 Total The activity bases identified for each activity are as follows: Activity Activity Base Production Machine hours Number of setups Setup Inspection Number of inspections Shipping Number of customer orders Customer service Number of customer service requests The activity-base usage quantities and units produced for the three products were determined from corporate records and are as follows: Customer Number of Number of Number of Units Service Inspections Customer Orders Setups Machine Hours Requests Machine Hours Requests White sugar 40 8,475 3,390 130 180 740 250 5,400 Brown sugar 2,160 190 270 2,040 Powdered sugar 450 920 2,150 180 110 5,375 400 19,250 500 7,700 900 3,700 Total Each product requires 0.9 machine hour per unit. Required: If required, round all per unit amounts to the nearest cent. 1. Determine the activity rate for each activity. $ 58 per machine hour Production $ 438 Setup per setup $ 77 Inspection per move $ Shipping 36 per cust. ord. $ 125 per customer service request Customer service 2. Determine the total and per-unit activity cost for all three products. Total Activity Cost Activity Cost Per Unit White sugar $ Brown sugar Powdered sugar

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