Pineapple Ltd uses three activity pools to assign costs to customers in order to assess customer profitability. Each activity cost pool has a unique cost driver to apply indirect costs to customers.

Required:
Calculate the activity cost rate for each activity.

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Estimated total usage of Estimated indirect costs $100 000 S500 000 cost Activity Sales retums Order processing Cost driver Number of returms Lines on order driver 5 000 returms 500 000 lines 10 000 orders Rush orders Number of rush order $200 000