Ernsting Printers has contracts to complete weekly supplements required by forty$-$six customers. For the year $2018,$ manufacturing overhead cost estimates total $$420,000$ for an annual production capacity of $12$ million pages.

For $2018$ Ernsting Printers has decided to evaluate the use of additional cost pools. After analyzing manufacturing overhead costs, it was determined that number of design changes, setups, and inspections are the primary manufacturing overhead cost drivers. The following information was gathered during the analysis:

Cost pool

Manufacturing

overhead costs

Activity level

Design changes

$$60,000$

$300$ design changes

Setups

$320,000$

$5,000$ setups

Inspections

$40,000$

$8,000$ inspections

Total manufacturing overhead costs

$$420,000$

During $2018,$ two customers, Wealth Managers and Health Systems, are expected to use the following printing services:

Activity

Wealth

Managers

Health

Systems

Pages

$60,000$

$76,000$

Design changes

$10$

$0$

Setups

$20$

$10$

Inspections

$30$

$38$

What is the cost driver rate if manufacturing overhead costs are considered one large cost pool and are assigned based on $12$ million pages of production capacity?Ernsting Printers has contracts to complete weekly supplements required by forty$-$six customers. For the year $2018,$

manufacturing overhead cost estimates total $$420,000$ for an annual production capacity of $12$ million pages.

For $2018$ Ernsting Printers has decided to evaluate the use of additional cost pools. After analyzing manufacturing overhead

costs, it was determined that number of design changes, setups, and inspections are the primary manufacturing overhead cost

drivers. The following information was gathered during the analysis:

During $2018,$ two customers, Wealth Managers and Health Systems, are expected to use the following printing services:

What is the cost driver rate if manufacturing overhead costs are considered one large cost pool and are assigned based

on $12$ million pages of production capacity?