Activity Rates and Activity-Based Product Costing Hammer Company produces a variety of electronic equipment. One of its

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Activity Rates And Activity Based Product Costing Hammer Company Produces A Variety Of Electronic Equipment One Of Its 1 (77.41 KiB) Viewed 84 times

Activity Rates and Activity-Based Product Costing Hammer Company produces a variety of electronic equipment. One of its plants produces two laser printers: the deluxe and the regular. At the beginning of the year, the following data were prepared for this plant: Deluxe Regular Quantity 800,000 100,000 $900 Selling price $750 $483 $ Unit prime cost $529 In addition, the following information was provided so that overhead costs could be assigned to each product: Activity Name Activity Driver Deluxe Regular Activity Cost Setups Number of setups 300 200 $2,000,000 Machine hours 100,000 300,000 80,000,000 Machining Engineering Packing Engineering hours 50,000 100,000 6,000,000 Packing orders 100,000 400,000 100,000 Required: 1. Calculate the overhead rates for each activity. (Round to two decimal places.) Setups per setup Machining s per machine hour Engineering per engineering hour Packing per packing order 2. Calculate the per-unit product cost for each product. (Round to the nearest dollar.) Deluxe s per unit Regular S per unit