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Blossom Inc. manufactures two products: car wheels and truck wheels. To determine the amount of overhead to assign to each product line, the controller, Daniel

Blossom Inc. manufactures two products: car wheels and truck wheels. To determine the amount of overhead to assign to each product line, the controller, Daniel Jackson, has developed the following information:
\table[[Estimated wheels produced,49,000,,19,000],[,,,Truck],[Direct labour hours per wheel,2,4,]]
Total estimated overhead costs for the two product lines are $870,000.
(a)
Calculate the overhead cost assigned to the car wheels and truck wheels, assuming that direct labour hours are used to allocate overhead costs.
Car wheels
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