Knowledge Check

Seta, Inc. identifies three activities in its manufacturing process: machine setups, machining, and inspecting. Estimated annual overhead cost for each activity is $$84,000,$$$129,500,$ and $$56,550,$ respectively. The cost driver for each activity and the estimated annual usage are number of setups $800,$ machine hours $35,000,$ and number of inspections $13,000.$ Compute the overhead rate for each activity. $($Round your answers to two decimal places $($e$.$g$.,12\mathrm{.}25).)$

$\backslash$table$[[,$Estimated Overhead Cost,Estimated Usage,,Overhead Rate$],[$Machine setups,$$84,000,800,$$$,$per setup$],[$Machining$,$$$129,500,35,000,$$$,$per machine hour$],[$Inspecting$,$$$56,550,13,000,$$$,$per inspection$]]$