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Keller Company makes two models of battery-operated boats, the Sandy Beach and the Rocky River. Basic production Information follows: Direct materials cost per unit

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Keller Company makes two models of battery-operated boats, the Sandy Beach and the Rocky River. Basic production Information follows: Direct materials cost per unit Direct labor cost per unit Sales price per unit Expected production per month Sandy Beach $18.70 13.20 83.60 1,160 units Rocky River $27.60 19.10 106.001 960 units Keller has monthly overhead of $12.197, which is divided into the following cost pools: Setup costs Quality control Maintenance Total $ 2,700 6,273 3,224 $12,197 The company has also compiled the following information about the chosen cost drivers: Sandy Beach Rocky River Total Number of setups 16 29 Number of inspections Number of machine hours 120 1,550 398 1,550 45 510 3,100 Required: 1. Suppose Keller uses 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.) Overhead Assigned < Prev 3 of 3 Next >

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