A company uses activitybased costing to determine the costs

A company uses activity-based costing to determine the costs of its three products: A, B, and C. The budgeted cost and activity for each of the company\'s three activity cost pools are shown in the following table: Budgeted Activity Activity Cost Pool Budgeted Cost Product A Product B Product C Activity 1 $ 83,000 7,300 10,300 21,300 Activity 2 $ 58,000 8,300 16,300 9,300 Activity 3 $ 108,000 3,800 2,300 2,925 Which of the following statements is true regarding this company\'s activity rates?

Solution

Calculate activity rates :