What is the activity rate on these general accounting question? Assume that the totaltotal activity cost for RiverTechIndustries is $250,000. The company produced an averageof 30 units per batch, and the number of batches producedis 5,000. Calculate the activity rate.(a) $50 per batch(b) $5,000 per batch(c) $250 per batch(d) $0.06 per batch

Step 1: Define Activity RateThe activity rate is the cost per batch produced, calculated by dividing…

Answered: Assume that the total total activity…

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter6: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 2CMA

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Assume that the total total activity cost for RiverTech Industries is $250,000. The company produced an average of 30 units per batch, and the number of batches produced is 5,000. Calculate the activity rate. (a) $50 per batch (b) $5,000 per batch (c) $250 per batch (d) $0.06 per batch