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Hazelnut Corp. manufactures lawn ornaments. It currently has two product lines, the basic and the luxury. Hazelnut has a total $153,940 in overhead. The company
Hazelnut Corp. manufactures lawn ornaments. It currently has two product lines, the basic and the luxury. Hazelnut has a total $153,940 in overhead. The company has identified the following information about its overhead activity cost pools and the two product lines: Activity Cost Pools Materials handling Quality control Machine maintenance Cost Assigned to Pool $ 3,680 Cost Driver Number of moves Number of inspections Number of machine hours $ 34,760 $115,500 Quantity/Amount Consumed by Basic 14 moves 240 inspections 5,600 machine hours. Quantity/Amount Consumed by Luxury 66 moves 120 inspections 4,900 machine hours Required: 1. Suppose Hazelnut used a traditional costing system with machine hours as the cost driver. Determine the amount of overhea assigned to each product line. (Do not round intermediate calculations and round your final answers to the nearest whole d amount.) Basic Model Overhead Assigned Luxury Model Overhead Assigned
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