1. Huey Parker produces mathematical and financial calculators. Data related to the two products are presented below.

   LO 3

   1. $6 per machine hour

   	Mathematical	Financial
   Annual production in units	50,000	100,000
   Direct materials costs	$180,000	$360,000
   Direct manufacturing labour costs	$ 60,000	$150,000
   Direct manufacturing labour-hours	2,500	5,000
   Machine-hours	35,000	40,000
   Number of production runs	50	50
   Inspection hours	1,000	500

   Both products pass through Department 1 and Department 2. The departments combined manufacturing overhead costs are

   Costs	Total
   Machining	$450,000
   Setup	144,000
   Inspection	126,000

Required

1. Compute the manufacturing overhead cost for each product.

2. Compute the manufacturing cost for each product.