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Reynoso Corporation manufactures titanium and aluminum tennis racquets. Reynoso's total overhead costs consist of assembly costs and inspection costs. The following information is available:
Reynoso Corporation manufactures titanium and aluminum tennis racquets. Reynoso's total overhead costs consist of assembly costs and inspection costs. The following information is available: Cost Assembly Titanium Aluminum Total Cost 500 mach, hours 500 mach. hours $74000 Inspections 350 150 $112000 2100 labor hours 1900 labor hours I Reynoso is considering switching from one overhead rate based on labor hours to activity-based costing. Total overhead costs assigned to titanium racquets, using a single overhead rate, are $112000. O $97650. O $93000. O $130200.
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