Problem 3-16A Part 2

2.	Management is considering using activity-based costing to assign manufacturing overhead cost to products. The activity-based costing system would have the following four activity cost pools:

Activity Cost Pool	Activity Measure	Estimated Overhead Cost
Maintaining parts inventory	Number of part types	$	161,000
Processing purchase orders	Number of purchase orders		80,000
Quality control	Number of tests run		66,000
Machine-related	Machine-hours		681,000
		$	988,000

	Expected Activity
Activity Measure	LEC 40	LEC 90	Total
Number of part types	450	700	1,150
Number of purchase orders	1,600	400	2,000
Number of tests run	700	1,500	2,200
Machine-hours	1,600	10,400	12,000

Determine the activity rate for each of the four activity cost pools. (Round your answers to 2 decimal places.)

Activity Cost Pool Activity Rate

Maintaining inventory per part type

Processing purchase orders per order

Quality control per test

Machine-relatedper MH