Business, 24.06.2019 12:30 Sushmitarai9416

Panamint systems corporation is estimating activity costs associated with producing disk drives, tapes drives, and wire drives. the indirect labor can be traced to four separate activity pools. the budgeted activity cost and activity base data by product are provided below. activity cost activity base procurement $394,400 number of purchase orders scheduling $248,900 number of production orders materials handling $455,500 number of moves product development $781,500 number of engineering changes production $1,530,700 machine hours number of purchase orders number of production orders number of moves number of engineering changes machine hours number of units disk drives 4,000 320 1,360 13 1,600 2,500 tape drives 2,300 165 750 4 9,400 4,500 wire drives 11,800 790 3,500 26 12,000 2,600 determine the activity rate for product development per change. a. $18,174 b. $38,166 c. $81,785 d. $9,087

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