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Bichon Company manufactures two products, Tini A and Tall B. Bichon's overhead costs consist of setting up machines, $1,200,000; machining, $2,700,000; and inspecting, $900,000. Information
Bichon Company manufactures two products, Tini A and Tall B. Bichon's overhead costs consist of setting up machines, $1,200,000; machining, $2,700,000; and inspecting, $900,000. Information on the two products is: Tini A Tall B Direct labor hours 15,000 25,000 Machine setups 600 400 Machine hours 24,000 26,000 Inspections 800 700 Overhead applied to Tini A using traditional based costing is? A) $1,800,000 B) $2,304,000 C) $2,505,000 D) $2,880,000
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