Answer:
Instructions are listed below
Explanation:
Giving the following information:
The company's activity-based costing system has the following seven activity cost pools:
Labor-related $ 19,600 10,000 direct labor-hours
Machine-related $ 7,000 7,000 machine-hours
Machine setups $ 23,400 600 setups
Production orders $ 16,500 500 orders
Product testing $ 22,400 800 tests
Packaging $ 62,900 3,700 packages
General factory $ 60,000 10,000 direct labor-hours
Activity rate= total estimated activity cost for the period/ total amount of allocation base:
Labor-related= 19600/10000= $1.96
Machine related= 7000/7000= $1
Machine setups= 23400/ 600= $39
Production orders= 16500/500= $33
Product testing= 22400/800= $28
Packaging= 62900/3700= $17
General factory= 60000/10000= $6
