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Required information The following information applies to the questions displayed below. Craftmore Machining produces machine tools for the construction industry. The following details about overhead costs were taken from its company records. Production Activity Indirect Labor Indirect Materials other overhead Grinding Polishing Product modification Providing power System calibration $360,000 650,000 430,000 $155,000 $230,000 Additional information on the drivers for its production activities follows. Grinding and Polishing Product modification Providing power System calibration 16,000 machine hours 1,300 engineering hours 19,000 direct labor hours 1,150 batches