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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 $149,292 in overhead.
Hazelnut Corp. manufactures lawn ornaments. It currently has two product lines, the basic and the luxury. Hazelnut has a total of $149,292 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 Driver Number of moves Cost Assigned to Pool $ 3,692 Number of inspections Number of machine hours $ 27,900 $117,700 Quantity/Amount Consumed by Basic 10 moves 240 inspections 5,100 machine hours Quantity/Amount Consumed by Luxury 61 noves 120 inspections 5,600 machine hours Required: 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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