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Hazelnut Corp. manufactures lawn ornaments. It currently has two product lines, the basic and the luxury. Hazelnut has a total of $163,902 in overhead.
Hazelnut Corp. manufactures lawn ornaments. It currently has two product lines, the basic and the luxury. Hazelnut has a total of $163,902 in overhead. The company has identified the following information about its overhead activity cost pools and the two product lines Cost Driver Number of moves Number of inspections Cost Assigned to Pool $ 3,762 Number of machine hours $ 28,140 $132,000 Quantity/Amount Consumed by Basic 16 moves 200 inspections 5,800 machine hours Quantity/Amount Consumed by Luxury 50 moves 100 inspections 5,200 machine hours ces Activity Cost Pools Materials handling Quality control Machine maintenance 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 Overhead Assigned Luxury Model Overhead Assigned
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