Answer:
Machine Setups 38.75 per set up
Machine Hours 25.00 per machine hour
Inspections 34.50 per inspection
Step-by-step explanation:
Computation for the overhead rate for each activity.
Activity Overhead per Activity Annual Usage Overhead Rate per Activity
Machine Setups $158,875 ÷4,100=38.75 per set up
Machine Hours 352,775÷14111=25.00 per machine hour
Inspections 120,750÷ 3,500=34.50 per inspection
Therefore the overhead rate for each activity will be:
Machine Setups 38.75 per set up
Machine Hours 25.00 per machine hour
Inspections 34.50 per inspection