Hazelnut Corp. manufactures lawn ornaments. It currently has two product lines, the basic and the luxury. Hazelnut has a total of $159,208 in overhead.

Hazelnut Corp. manufactures lawn ornaments. It currently has two product lines, the basic and the luxury. Hazelnut has a total of $159,208 in overhead. The company has identified the following information about its overhead activity cost pools and the two product lines: Cost Activity Cost Pools Materials handling Quality control Machine maintenance Cost Driver Number of moves Number of inspections Number of machine hours Assigned to Pool $ 3,108 $ 26,100 $130,000 Quantity/Amount Consumed by Basic 11 moves 200 inspections 5,200 machine hours Quantity/Amount Consumed by Luxury 63 moves 100 inspections 4,800 machine hours Required: 1. Suppose Hazelnut used a traditional costing system with machine hours as the cost driver. Determine the amount of overhead assigned to each product line. (Do not round intermediate calculations and round your final answers to the nearest whole dollar amount.) Basic Model $ 82,788 Overhead Assigned 76,420: Overhead Assigned Luxury Model $ 2. Calculate the activity rates for each cost pool in Hazelnut's ABC system. (Round your answers to the nearest whole dollar.) Activity Rates per Move Materials Handling Quality Control Machine Maintenance per Inspection per Machine Hour 3. Calculate the amount of overhead that Hazelnut will assign to the basic line if it uses an ABC system. (Round your intermediate and final answers to the nearest whole dollar.) Basic Model Materials Handling Quality Control Machine Maintenance Total Overhead Assigned $ 0 4. Determine the amount of overhead Hazelnut will assign to the luxury line if it uses an ABC system. (Round your intermediate and final answers to the nearest whole dollar.) Luxury Model Materials Handling Quality Control Machine maintenance Total Overhead Assigned S 0 5. Compare the results for a traditional system with that of an ABC system. Which do you think is more accurate? Traditional System O ABC System