Use the following information for Cornerstone Exercises $7-29$ and $7-30$:

Zapato Company produces two types of boots: cowboy and cowgirl. There are four activities

associated with the two products. Drivers for the four activities are as follows:

Cornerstone Exercise $7-29$ Consumption Ratios

Refer to the information for Zapato Company above.

Required:

Calculate the consumption ratios for the four drivers.

Is there evidence of product diversity? Explain.

Cornerstone Exercise $7-30$ Activity Rates

Refer to the information for Zapato Company above. The following activity data have been

CORNERSTONE $7-2$

collected:

Required:

Calculate the activity rates that would be used to assign costs to each product.