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Power Company manufactures a variety of drill bits. The company's plant is partially automated. The budget for the year includes $468,000 payroll for 5,400
Power Company manufactures a variety of drill bits. The company's plant is partially automated. The budget for the year includes $468,000 payroll for 5,400 direct labor-hours. Listed below is cost driver information used in the product-costing system: Overhead Cost Pool Machine setups Materials handling Quality control Other overhead cost Total overhead Budgeted Overhead Cost Driver $ 338,450 106,200 378,000 243,000 Number of setups. Number of barrels Number of inspections. Number of machine hours $ 1,065,650 Estimated Cost Driver Level 150 setups 8,850 barrels 1,400 inspections 13,500 machine hours A current product order has the following requirements: Machine setups Materials handling. Quality inspections 4 Machine hours. Direct labor hour. 12 setups 624 barrels 82 inspections 900 machine hours 372 hours Using activity-based costing, how much quality control overhead is assigned to the order?
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