## Answers

The computation of activity rate for the Machine Setups activity cost pool is shown below:-

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Answer $ 33.70 Activity Labor-related Machine Setups Order Size Estimated Overhead Product Zi Product Z8 Total $ 112,190.00 600 2000 $ 40,440.00 500 700 $ 609,770.00 3000 32001 Formula 2600 (Estimated Overhead Cost / Total 1200 (Estimated Activity)) 6200 Activity Rate $ 43.15 $ 33.70 98.35 $

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