Chapter 4 Homework Saved Help Save & Exit Submit Check my work Exercise 4-9 Compute and Use Activity Rates to Determine the costs of Serving Customers [LO4-2, LO4-3] points Med Max buys surgical supplies from a variety of manufacturers and then resells and delivers these supplies to dozens of hospitals. In the face of declining profits, Med Max decided to implement an activity-based costing system to improve its understanding of the costs incurred to serve each hospital. The company broke its selling and administrative expenses into four activities as shown below: eBook Activity Cost Pool Customer deliveries Manual order processing Electronic order processing Line item picking Total selling and administrative expenses Activity Measure Number of deliveries Number of manual orders Number of electronic orders Number of line items picked Total Cost $ 495,900 385,400 220,440 540,500 $1,642,240 Total Activity 5,700 deliveries 4,700 orders 13,200 orders 470,000 line items References Med Max gathered the data below for two of the many hospitals that it serves-City General and County General: Activity City County General General 15 Activity Measure Number of deliveries Number of manual orders Number of electronic orders Number of line items picked 20 120 280 Required: 1. Compute the activity rate for each activity cost pool. 2. Compute the total activity costs that would be assigned to City General and County General. Required: 1. Compute the activity rate for each activity cost pool. 2. Compute the total activity costs that would be assigned to City General and County General. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute the activity rate for each activity cost pool. (Round your answers to 2 decimal places.) Activity Cost Pool Activity Rate Customer deliveries Manual order processing Electronic order processing Line item picking per delivery per manual order per electronic order per line item picked Required 1 Required 2 > Required: 1. Compute the activity rate for each activity cost pool. 2. Compute the total activity costs that would be assigned to City General and County General. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute the total activity costs that would be assigned to City General and County General. (Do not round intermediate calculations.). ABC Cost City County General General Activity Cost Pool Customer deliveries Manual order processing Electronic order processing Line item picking Total activity costs