! Required information [The following information applies to the questions displayed below.] Rustafson Corporation is a diversified manufacturer of consumer goods. The company's activity-based costing system has the following seven activity cost pools: Estimated Overhead Cost Expected Activity 1,000 direct labor-hours 8,000 machine-hours 800 setups Activity Cost Pool Labor-related $ 22,000 Machine-related $ 10,000 Machine setups $ 36,000 Production orders $ 29,400 Product testing $ 27,900 Packaging $ 68,400 General factory $ 56,800 1,000 direct labor-hours 600 orders 900 tests 3,600 packages Required: 1. Compute the activity rate for each activity cost pool. (Round your answers to 2 decimal places.) Activity Cost Pool Activity Rate Labor-related per DLH Machine-related per MH Machine setups per setup Production orders per order Product testing per test Packaging General factory per package per DLH

Principles of Accounting Volume 2
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ISBN:9781947172609
Author:OpenStax
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Chapter5: Process Costing
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Problem 1PB: The following product costs are available for Stellis Company on the production of erasers: direct...
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[The following information applies to the questions displayed below.]
Rustafson Corporation is a diversified manufacturer of consumer goods. The company's activity-based costing system has
the following seven activity cost pools:
Estimated
Overhead Cost
Expected Activity
1,000 direct labor-hours
8,000 machine-hours
800 setups
Activity Cost Pool
Labor-related
$ 22,000
Machine-related
$ 10,000
Machine setups
$ 36,000
Production orders
$ 29,400
Product testing
$ 27,900
Packaging
$ 68,400
General factory
$ 56,800
1,000 direct labor-hours
600 orders
900 tests
3,600 packages
Required:
1. Compute the activity rate for each activity cost pool. (Round your answers to 2 decimal places.)
Activity Cost Pool
Activity Rate
Labor-related
per DLH
Machine-related
per MH
Machine setups
per setup
Production orders
per order
Product testing
per test
Packaging
General factory
per package
per DLH
Transcribed Image Text:! Required information [The following information applies to the questions displayed below.] Rustafson Corporation is a diversified manufacturer of consumer goods. The company's activity-based costing system has the following seven activity cost pools: Estimated Overhead Cost Expected Activity 1,000 direct labor-hours 8,000 machine-hours 800 setups Activity Cost Pool Labor-related $ 22,000 Machine-related $ 10,000 Machine setups $ 36,000 Production orders $ 29,400 Product testing $ 27,900 Packaging $ 68,400 General factory $ 56,800 1,000 direct labor-hours 600 orders 900 tests 3,600 packages Required: 1. Compute the activity rate for each activity cost pool. (Round your answers to 2 decimal places.) Activity Cost Pool Activity Rate Labor-related per DLH Machine-related per MH Machine setups per setup Production orders per order Product testing per test Packaging General factory per package per DLH
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