Company has two production departments, assembly and finishing, and two service departments, machine setup and inspection. Machine setup costs are allocated on the basis of number of setups, whereas inspection costs are allocated on the basis of number of direct labor hours. Selected information on the four departments follows: Item Machine setup

Direct Costs $41,000

Number of Setups 0

Direct Labor Hours 0

Item Inspection

Direct Costs $12,000

Number of Setups 0

Direct Labor Hours 0

Item Assembly

Direct Costs $26,000

Number of Setups 25

Direct Labor Hours 300

Item Finishing

Direct Costs $16,000

Number of Setups 75

Direct Labor Hours 200

Using the direct method, determine the amount of machine setup costs allocated to the two production departments.

Using the direct method, determine the amount of inspection costs allocated to the two production departments.