After reading an article about activity-based costing in a trade journal for the furniture industry, Santana Rey decides to analyze overhead cost at Business Solutions. In a recent month, Santana found that setup costs, inspection costs, and utility costs made up most of the companys overhead. Additional information about overhead follows.

Activity	Budgeted Cost	Budgeted Activity Usage
Set up	$ 14,600	20	setups
Inspection	5,100	5,100	parts inspected
Utilities	10,200	5,100	machine hours (MH)
Total	$ 29,900

The following data pertain to Job 615.

Direct materials	$ 2,100
Direct labor	$ 3,400
Overhead	$ _____
Setups	4	setups
Parts inspected	590	parts inspected
Machine hours	520	machine hours

Required: 1. Classify each of the three overhead activities as unit level, batch level, product level, or facility level. 2. Assume Business Solutions allocates overhead cost using a plantwide rate based on 5,100 machine hours. Compute total product cost of Job 615. 3. Assume Business Solutions uses activity-based costing. (a) Compute overhead activity rates. (b) Allocate overhead cost to Job 615. (c) Compute total product cost of Job 615.