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You work for Thunderduck Custom Tables Inc. The company designs and manufactures specialty tables. Thunderduck...

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Accounting

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You work for Thunderduck Custom Tables Inc. The company designs and manufactures specialty tables. Thunderduck Custom Tables uses ABC to determine the costs of its three products: A, B, and C. The budgeted cost and cost driver activity for each of Thunderduck Custom Table's three activity cost pools follow. Budgeted Activity of Cost Driver Activity Cost Pools Budgeted Cost Product A Product B Product C Activity 1 $180,950 21,400 9,700 7,400 Activity 2 $123,950 8,700 16,400 8,400 Activity 3 $101,355 1,975 1,000 2,850 Required: Compute the activity rates for each of Thunderduck Custom Table's three activities. Thunderduck Custom Table's uses activity based costing. Activity Expected Activity Driver Activity Rate 1 Expected Costs $ 180,950 123,950 101,355 2 3

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