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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: Activity Cost Pool Labor-related Machine-related Machine setups Production orders Product testing Packaging General factory Activity Cost Pool Labor-related Machine-related Machine setups Production orders Estimated Overhead Cost $ 16,400 Product testing Packaging General factory $ 5,000 $ 20,500 $ 19,000 $ 21,700 $ 36,000 $ 53,600 Required: 1. Compute the activity rate for each activity cost pool. (Round your answers to 2 decimal places.) Expected Activity 10,000 direct labor-hours. 10,000 machine-hours Activity Rate per DLH per MH per setup per order per test per package per DLH 500 setups 500 orders 700 tests 3,600 packages 10,000 direct labor-hours.
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: Activity Cost Pool Labor-related Machine-related Machine setups Production orders Product testing Packaging General factory Estimated Overhead Cost $ 16,400 $ 5,000 $ 20,500 $ 19,000 $ 21,700 $ 36,000 $ 53,600 Predetermined overhead rate Expected Activity 10,000 direct labor-hours 10,000 machine-hours 500 setups 500 orders 700 tests 2. Compute the company's predetermined overhead rate, assuming that the company uses a single plantwide predetermined overhead rate based on direct labor-hours. (Round your answer to 2 decimal places.) per DLH 3,600 packages 10,000 direct labor-hours