ctivity Rates and Product Costs using Activity-Based Costing onsdale Inc. manufactures entry and dining room lighting fixtures, Five activities are used in manufacturing the foctures. These activities and their associated budgeted activity costs and activity bases are as follows: Budgeted Activity Activity Cost Activity Base Casting $220,660 Machine hours Assembly 205,740 Direct labor hours Inspecting 38,250 Number of inspections Setup 41.470 Number of setups Materials handling 38,950 Number of loads Corporate records were obtained to estimate the amount of activity to be used by the two products. The estimated activity base usage quantities and units produced follow: Activity Base Entry Dining Total Machine hours 5,320 4.710 10.030 Direct labor hours 4.570 6,860 11.430 Number of inspections 610 2.550 Number of setups 230 60 - Number of loads 200 050 Units produced 10.600 5.300 15.900 .. Determine the activity rate for each activity. If required, round the rate to the nearest dollar. 1,940 290 759 Previous Next Machine hours 5,320 4,710 10,030 Direct labor hours 4,570 6,860 11,430 Number of inspections 1.940 610 2.550 Number of setups 230 60 290 Number of loads 750 200 950 Units produced 10,600 5,300 15,900 a. Determine the activity rate for each activity. If required, round thy rate to the nearest dollar. Activity Activity Rate Casting per machine hour Assembly per direct labor hour Inspecting per inspection Setup per setup Materials handling per load b. Use the activity rates in (s) to determine the total and per-unit activity costs associated with each product. Round the per unit amounts to the nearest cent. Product Total Activity Cost Activity Cost Per Unit Entry Lighting Fitures Dining Room Ughting Fixtures