445 45. Sitwell Corporation manufactures titanium and aluminum tennis racquets. Sitwell's total overhead costs consist of assembly costs and inspection costs. The following information is available: Titanium Cost Assembly Inspections 500 mach. hours 350 2,100 labor hours Aluminum 500 mach. hours 150 Total Cost $45,000 $75,000 1,900 labor hours Sitwell is considering switching from one overhead rate based on labor hours to activity- based costing. Using activity-based costing, how much assembly cost is assigned to titanium racquets? a. $15,750. b. $22,500. c. $23,625. d. $31,500. Ans: b, LO: 2, Bloom: AP, Difficulty: Medium, Min: 3, AACSB: Analytic, AICPA BB: Strategic/Critical Thinking, AICPA FN: Measurement, AICPA PC Problem Solving, IMA: Cost Mgmt 46. Sitwell Corporation manufactures titanium and aluminum tennis racquets. Sitwell's total overhead costs consist of assembly costs and inspection costs. The following information is available: Cost Assembly Inspections Titanium 500 mach. hours 350 2,100 labor hours Aluminum 500 mach. hours Total Cost $45,000 150 1,900 labor hours $75,000 Sitwell is considering switching from one overhead rate based on labor hours to activity- based costing. Using activity-based costing, how much inspections cost is assigned to titanium racquets? a. $22,500. b. $35,625. c. $37,500. d. $52,500.