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Pina Colada Industries manufactures dining chairs and tables. The following information is available regarding the two products and their estimated use of cost drivers:
Pina Colada Industries manufactures dining chairs and tables. The following information is available regarding the two products and their estimated use of cost drivers: Dining Chairs Tables Estimated Cost Machine setups 260 660 $48,760 Inspections 310 530 $73,080 Labor hours 2,600 2,400 Pina Colada is considering switching from one overhead rate based on labor hours to ABC. Perform the following analyses for these two components of overhead: (a) Your answer is correct. Compute total machine setups and inspection costs assigned to each product, using a single overhead rate. (Round overhead rate value to 3 decimal places, eg. 52.711 and final answers to O decimal places, e.g. 5,275) Total Costs Dining chairs Tables 63357 58483
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