Sorce Instrument, Inc. manufactures two products: missile range instruments and space pressure gauges. During April, 50 range instruments and 300 pressure gauges were produced, and overhead costs of $

Sorce Instrument, Inc. manufactures two products: missile range instrumentsand space pressure gauges. During April, 50 range instruments and 300 pressure gaugeswere produced, and overhead costs of $89,500 were estimated. An analysis of estimatedoverhead costs reveals the following activities.            Activities                                              Cost Drivers                       Total Cost1.Materials handling                                         Number of requisitions               $35,0002. Machine setups                                             Number of setups                         27,5003. Quality inspections                                       Number of inspections                 27,000     Total                                                                                                                       $89,500The cost driver volume for each product was as follows:Cost Drivers                                                      Instruments                         Gauges                 TotalNumber of requisitions                                         400                                      600                   1,000Number of setups                                                  200                                      300                     500Number of inspections                                          200                                      400                     600Instructions  :(a) Determine the overhead rate for each activity.(b) Assign the manufacturing overhead costs for April to the two products using activity based costing