Unformatted text preview: Gomez Company identiﬁes three activities in its manufacturing promos: machine setups, machining, and inspections. Estimated annual ovemead cost tor each
activity is $180,000, $325,000, and $07,500, respectively. the cost ddver for each activity and the expected annual usage are: number of setups 2,500, machine
hours 25000, and number of inspections 1,750. Compute the overhead rate for each activity. ...
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- Fall '11