Enter the cost pool total ($) and the cost driver into the Activity Rate Calculator. The calculator will evaluate the Activity Rate. ## Activity Rate Formula The following two example problems outline the steps and information needed to calculate the Activity Rate. ACR = CP / CD • Where ACR is the Activity Rate • CP is the cost pool total ($)
• CD is the cost driver

To calculate the activity rate, divide the cost pool total by the cost driver.

## How to Calculate Activity Rate?

The following example problems outline how to calculate Activity Rate.

Example Problem #1:

1. First, determine the cost pool total ($). • The cost pool total ($) is given as: 500.
2. Next, determine the cost driver.
• The cost driver is provided as: 10.
3. Finally, calculate the Activity Rate using the equation above:

ACR = CP / CD

The values provided above are inserted into the equation below and computed.

ACR = 500 / 10 = 50

Example Problem #2:

For this problem, the variables required are provided below:

cost pool total (\$) = 600

cost driver = 7