Activity-based costing:factory overhead costs

The total factory overhead for Cypress Marine Company is budgeted for the year at $1,379,500, divided into four activities: fabrication, $700,000, assembly, $256,000, setup, $231,000, and inspection, $192,500. Cypress Marine manufactures two types of boats: speedboats and bass boats. The activity-base usage quantities for each product by each activity are as follows:

Item	Fabrication	Assembly	Setup	Inspection
Speedboat	8,750 dlh	24,000 dlh	63 setups	109 inspections
Bass boat	26,250	8,000	462	766
Total	35,000 dlh	32,000 dlh	525 setups	875 inspections

Each product is budgeted for 6,000 units of production for the year.

a. Determine the activity rates for each activity.

Activities	Amount
Fabrication	$ per dlh
Assembly	$ per dlh
Setup	$ per setup
Inspection	$ per inspection

b. Determine the activity-based factory overhead per unit for each product. Round all per unit answers to the nearest dollar. Speedboats ------ per unit Bass Boats -------- per unit