Question: QS 17-8 Computing activity rates LO P3 A manufacturer uses activity-based costing to assign overhead costs to products. Budgeted cost information for selected activities for
QS 17-8 Computing activity rates LO P3 A manufacturer uses activity-based costing to assign overhead costs to products. Budgeted cost information for selected activities for next year follows. Activity Purchasing cleaning factory Providing utilities Expected Cost $93,600 29,000 53, 720 Cost Driver Purchase orders Square feet Square feet Expected Usage of Cost Driver 3,900 purchase orders 4,400 square feet 4,400 square feet Compute activity rates for each of the cost pools. (Round your answers to 2 decimal places.) Activity cost pool Expected Costs Activity Overhead Rate Expected Amount of Cost Driver 3.900 4.400 Purchasing Factory per purchase order per square foot
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