Question: 1. Compute the activity rate for each activity cost pool 2. Compute the company's predetermined overhead rate, assuming that the company uses a single plantwide

 1. Compute the activity rate for each activity cost pool 2.

1. Compute the activity rate for each activity cost pool

2. Compute the company's predetermined overhead rate, assuming that the company uses a single plantwide predetermined overhead rate based on direct labor-hours. (Round your answer to 2 decimal places.)

Rustafson Corporation is a diversified manufacturer of consumer goods. The company's activity-based costing system has the following seven activity cost pools: Activity Cost Pool Labor-related Machine-related Machine setups Production orders Product testing Packaging General factory Estimated Overhead Cost $ 28,000 $ 2,500 $ 34,300 $ 13,800 $ 12,000 $ 57,000 $ 60,000 Expected Activity 5,000 direct labor-hours 5,000 machine-hours 700 setups 300 orders 600 tests 3,800 packages 5,000 direct labor-hours

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