Business, 12.03.2020 01:03 20eppsj

Garfield Inc. manufactures entry and dining room lighting fixtures. Five activities are used in manufacturing the fixtures. These activities and their associated budgeted activity costs and activity bases are as follows: Activity Budgeted Activity Cost Activity Base Casting $310,080 Machine hours Assembly 145,600 Direct labor hours Inspecting 27,610 Number of inspections Setup 43,500 Number of setups Materials handling 50,140 Number of loads Corporate records were obtained to estimate the amount of activity to be used by the two products. The estimated activity-base usage quantities and units produced follow: Activity Base Entry Dining Total Machine hours 4,830 4,290 9,120 Direct labor hours 4,160 6,240 10,400 Number of inspections 1,910 600 2,510 Number of setups 240 60 300 Number of loads 860 230 1,090 Units produced 9,600 4,800 14,400 a. Determine the activity rate for each activity. If required, round the rate to the nearest dollar.

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