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Jackson, Incorporated produces two products (Product 5 and Product Z) using two activities: Machining, which uses machine hours as the cost driver, and Inspection, which
Jackson, Incorporated produces two products (Product 5 and Product Z) using two activities: Machining, which uses machine hours as the cost driver, and Inspection, which uses the number of batches as the cost driver. The cost of Machining is $520,000, while the cost of Inspection is $40,000. Product 5uses 25% of total machine hours and 65% of total batches. What is the total Inspection cost assigned to Product 5?
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