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The following information applies to the questions displayed below.] Rustafson Corporation is a diversified manufacturer of consumer goods. The company's activity-based costing system has the

The following information applies to the questions displayed below.]

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 $ 29,200 4,000 direct labor-hours
Machine-related $ 7,000 7,000 machine-hours
Machine setups $ 18,000 500 setups
Production orders $ 24,000 500 orders
Product testing $ 24,000 1,200 tests
Packaging $ 47,600 3,400 packages
General factory $ 59,600 4,000 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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