Homework answers / question archive / Leaper Corporation uses an activity-based costing system with the following three activity cost pools:   Activity Cost PoolTotal ActivityFabrication35,000machine-hoursOrder processing250ordersOtherNot applicable   The Other activity cost pool is used to accumulate costs of idle capacity and organization-sustaining costs

Leaper Corporation uses an activity-based costing system with the following three activity cost pools:   Activity Cost PoolTotal ActivityFabrication35,000machine-hoursOrder processing250ordersOtherNot applicable   The Other activity cost pool is used to accumulate costs of idle capacity and organization-sustaining costs

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Leaper Corporation uses an activity-based costing system with the following three activity cost pools:

Activity Cost PoolTotal ActivityFabrication35,000machine-hoursOrder processing250ordersOtherNot applicable

The Other activity cost pool is used to accumulate costs of idle capacity and organization-sustaining costs.

The company has provided the following data concerning its costs:

  Wages and salaries$380,000Depreciation 150,000Occupancy 170,000Total$700,000

The distribution of resource consumption across activity cost pools is given below:

 Activity Cost Pools  FabricationOrder ProcessingOtherTotalWages and salaries35%30%35%100%Depreciation15%45%40%100%Occupancy35%30%35%100%

The activity rate for the Order Processing activity cost pool is closest to: