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Company's activity cost pools is machine setups, with estimated overhead of $360,000. w much of the machine setup cost 14. Zimmerman Company manufactures two products,

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Company's activity cost pools is machine setups, with estimated overhead of $360,000. w much of the machine setup cost 14. Zimmerman Company manufactures two products, Board 12 and Case 165. Zimmerman's overhead 13. .One of Stine Stine produces sparklers (400 setups) and lighters (600 setups). Ho pool should be assigned to sparklers? $144.000 costs consist of setting up machines, $2,400,000; machining, $5,400,000; and inspecting, $1,800,000. Information on the two products is: Board 12 15,000 Case 165 25,000 Direct labor hours Machine setups Machine hours Inspections 600 400 24,000 800 26,000 700 1. 2. What is overhead applied to Board 12 using traditional costing using direct labor hours? 53,600,000 What is overhead applied to Case 165 using traditional costing using direct labor hours? $6,000,000 What is overhead applied to Board 12 using activity-based costing? $4,992.000 What is overhead applied to Case 165 using activity-based costing? $4,608,000 15. Thomsen Computer Company produces three products: Earth, Wind, and Fire. Earth requires 80 machine setups, Wind requires 60 setups, and Fire requires 180 setups. Thomsen has identified an activity cost pool with allocated overhead of $960,000 for which the cost driver is machine setups. How much overhead is assigned to each product? $240,000 Si8 $540,000 le Company manufactures two models of its couch, the Mini and the Maxi. The Mini model requires es 10,000 direct labor hours and the Maxi model requires 40,000 direct labor hours. The company produc ch year. The company produces th The compar 4,000 units of the Mini model and 1,000 units of the Maxi model ea Mini model in batch sizes of 200, while it produces the Maxi model in batch sizes of 100 expects to incur $360,000 of total setup costs this year. How much of the setup costs the Mini model using ABC costing? $240,000

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