Activity Cost Pool Estimated Overhead Cost is $1,125,400
(a) Estimated Activity
(b) Activity Rate (a ÷ b)
Labor Related $48,000 30,000 DLHs $1.60 per DLH
Machine Related $67,500 10,000 MHs $6.75 per MH
Machine Setups $90,000 600 Setups $150 per Setup
Production Orders $112,000 3,500 Orders $32 per Order
Product Testing $59,400 1,800 Tests $33 per Test
Packaging $76,500 4,500 Packages $17 per Package
General Factory $672,000 30,000 DLHs $22.40 per DLH
Total $1,125,400
Activity Rate = Estimated Overhead Cost / Estimated Activity
Activity Rate of Labor Related = $48,000 / $30,000
= $1.60 per DLH
Activity Rate of Machine Related = $67,500 / 10,000
= $6.75 per MH
Activity Rate of Machine Setups = $90,000 / 600
= $150 per Setup
Activity Rate of Production Orders = $112,000 / 3,500
= $32 per Order
Activity Rate of Product Testing = $59,400 / 1,800
= $33 per Test
Activity Rate of Packaging = $76,500 / 4,500
= $17 per Package
Activity Rate of General Factory = $672,000 / 30,000
= $22.40 per DLH
Learn more about Activity Rate brainly.com/question/5143419
#SPJ4
