a companymanufactures two products: Premium instruments and Standard instruments. During January, 50 premium and 300 standard instruments were produced,with overheads of $89,000 being incurred. An analysis of overhead costs reveals the following activities:

Activity Cost driver Total cost Materials handling Number of requisitions $35.000 Machine set-ups Number of set-ups $27,000 Quality inspections Number of inspections $27,000 The cost driver volume for each product were as follows: Cost driver Premium instruments Standard instruments Total Number of requisitions 400 600 1000 Number of set-ups 200 300 500 Number of inspections 200 400 600