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Activity Machine setup Inspection Materials receiving Activity Overhead $ $ 200,000 160,000 252,000 Cost Driver # of setups # of quality tests # of purchase
Activity Machine setup Inspection Materials receiving Activity Overhead $ $ 200,000 160,000 252,000 Cost Driver # of setups # of quality tests # of purchase orders Cost Driver Quantity 2,500 400 3,000 The budgeted data for smartphone case production are as follows. Direct materials Direct labor Number of setups Number of quality tests Number of purchase orders Production $1.25 per unit $0.80 per unit 260 75 50 250,000 units (a) Your answer is correct. Calculate the activity rate for each cost pool. $ GA 80/setup Machine setup $ $ 400 / test Inspection $ 84 /PO Materials receiving (b) Calculate the activity-based unit cost of the smartphone case. (Round answer to 2 decimal places, e.g. 15.25.) $ $ Activity-based unit cost
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