The total factory overhead for Urban Styles, Inc., is budgeted for the year at $225,000, divided into four activities: cutting, $22,500; sewing, $45,000; setup, $100,000; and inspection, $57,500. Urban manufactures two types of men€™s pants: jeans and khakis. The activity-base usage quantities for each product by each activity are as follows:

Each product is budgeted for 15,000 units of production for the year. Determine 

(a) The activity rates for each activity 

(b) The activity-based factory overhead per unit for each product.

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Sewing Setup Cutting Inspection 4,000 inspections 1,750 5,750 inspections 750 dlh 1,500 2,250 dlh 1,500 dlh 1,600 setups 400 2,000 setups Jeans Khakis 750 2,250 dlh