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Holman Manufacturing has three activities in its manufacturing process: machine setups, machining, and inspections. Estimated annual overhead cost for each activity is $$80,000,$ $$187,500,$ and $$32,375,$ respectively. The expected annual use in each department is $2,000$ setups, $12,500$ machine hours, and $875$ inspections.

Instructions

Compute the overhead rate for each activity.