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QUESTION 1 Atex Enterprises manufacturers two products: car tire rimes and truck tire rime The total overhead cost is estimated to be $1,540,000.00 for

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QUESTION 1 Atex Enterprises manufacturers two products: car tire rimes and truck tire rime The total overhead cost is estimated to be $1,540,000.00 for the month ended June 30. A breakdown of the overhead costs reveals the following activities: ACTIVITIES Machine Set Up Assembly Quality Inspection COST DRIVERS Number of requisitions Number of labor hours TOTAL COST $440,000 560,000 540,000 Number of inspections TOTAL $1,540,000 The cost analysts determined the following cost driver volumes for each product as follows: COST DRIVERS CAR TRUCK TOTAL Number Set Ups 400 1,600 2,000 Number of labor hours 80,000 60,000 140,000 Number of inspections 200 2,200 2,400

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