24. McCaskey Corporation uses an activity-based costing system with the following three activity cost pools: Activity Cost Pool Total Activity Fabrication.... 40,000 machine-hours Order processing....... 500 orders Other.......... Not applicable The Other activity cost pool is used to accumulate costs of idle capacity and organization-sustaining costs. The company has provided the following data concerning its costs: Wages and salaries...... $420,000 Depreciation.. 100,000 Occupancy... 120,000 Total. $640,000 The distribution of resource consumption across activity cost pools is given below: Activity Cost Pools Fabrication Order Processing Other Wages and salaries....... 5% 80% 15% Depreciation.. 15% 45% 40% Occupancy.... 25% 50% 25% Total 100% 100% 100% The activity rate for the Fabrication activity cost pool is closest to: A. $1.65 per machine hour B. $4.00 per machine-hour C. $0.80 per machine-hour D. $2.40 per machine-hour Use the following data to calculate the slope and intercept of the cost equation. Also, show the equation itself, using those values. Unit Total Production Cost 400 $ 960 75 343 900 1,910 250 675 675 1,483 435 1,027 890 1,891 777 1,676 230 637