Estin Company $($EC$)$ manufactures and sells hardware used in commercial building construction. At the

company's Rivers Edge plant, EC manufactures two versions of one of its most popular products, HW$-10$ and HW$-20.$

EC's accounting system assigns manufacturing overhead using a pre$-$determined overhead rate based on direct labor$-$

costs. This rate varies from plant to plant.

EC's CFO is considering adopting an ABC model for the company's costing systems. However, given the cost

of new systems the CFO believes it would be prudent to test an ABC system at the Rivers Edge plant before deciding

whether or not to role it out company wide.

A study team analyzed the Rivers Edge plant's production processes and identified four cost pools that

captured the main functions related to the source of manufacturing overhead costs. After six months of discussion

and analysis the team made the following forecasts of next year's costs:

For the upcoming year the team had the following forecasted production details for $HW-10$ and $HW-20$ :

Direct labor at the Rivers Edge plant is averages an hourly cost of $$38\mathrm{.}00.$ Assume EC uses the following pre$-$determined activity rates to implement an ABC system: $$1,200$ per shipment $($Inspections$)$; $$13\mathrm{.}00$ per machine hour $($Assembly$)$; $$1,400$ per production run $($Set ups$)$; and $$6\mathrm{.}50$ per unit $($Packaging$).$ What is the total cost of manufacturing overhead assigned to H$20$ production?

Assume EC uses the following pre$-$determined activity rates to implement an ABC system: $$1,200$ per shipment $($Inspections$)$; $$13\mathrm{.}00$ per machine hour $($Assembly$)$; $$1,400$ per production run $($Set ups$)$; and $$6\mathrm{.}50$ per unit $($Packaging$).$ What is the total cost of manufacturing overhead assigned to H$10$ production?