The Klamath Corp. produces two products, saws and drills. Three activities are used in their manufacture. These activities and their associated costs and bases are as follows: Activity Budgeted Costs Activity Base
Stamping $200,000 Machine hours
Assembly $400,000 Labor hours
Setup $30,000 Number of setups

Activity Base Saws Drills Total
Machine hours 4,000 6,000 10,000
Labor hours 7,000 13,000 20,000
Number of setups 3 12 15
Units produced 500 600

Required:
a. Determine the activity rate for each activity.
b. Determine the overhead cost per unit for each product.

Mesa company produces wooden rocking chairs. the company has two production departments, cutting and assembly. the wood is cut and sanded in cutting and then transferred to assembly to be assembled and painted. from assembly, the chairs are transferred to finished goods inventory and then are sold.mesa has compiled the following information for the month of february: cutting department assemblydepartmentdirect materials $ 73,000 $ 13,000direct labor 73,000 108,000applied manufacturing overhead 159,000 171,000cost of goods completed and transferred out 233,000 255,000required: 1, 2, 3, & 4. prepare journal entries for the transactions in the cutting and assembly departments of mesa company. (if no entry is required for a transaction/event, select "no journal entry required" in the first account field.)