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Mills, Inc. produces two different products (Product A and Product X) using two different activities: Machining, which uses machine hours as an activity driver, and
Mills, Inc. produces two different products (Product A and Product X) using two different activities: Machining, which uses machine hours as an activity driver, and Inspection, which uses number of batches as an activity driver. The activity rate for Machining is $26 per machine hour, and the activity rate for Inspection is $53 per batch. The activity drivers are used as follows: Product A 1.866 Product X 1.680 Machine hours Number of batches 149 302 What is the amount of Inspection cost assigned to Product A
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