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Starbright manufactures child car seats, strollers, and baby swings. Starbright's manufacturing costs are budgeted as follows: Factory utilities: $105,000 Factory foremen salaries: $75,000 Machinery setup
Starbright manufactures child car seats, strollers, and baby swings. Starbright's manufacturing costs are budgeted as follows: Factory utilities: $105,000 Factory foremen salaries: $75,000 Machinery setup costs: $30,000 Total manufacturing overhead: $210,000 The company uses activity-based costing to allocate its manufacturing overhead costs to products based on the following schedule: Overhead Cost Allocation Base Estimated Activity Level Factory Utilities Direct labor-hours 14.258 Factory foremen salaries Machine hours 21,000 Setup costs Number of production runs 83 During the current month, the following levels of activities were incurred: Car Seats Strollers Baby Swings Total Direct Labor Costs $ 55.425 $ 84.423 $ 31.258 $ 171,106 Direct Labor Hours 4.619 7.035 2.604 14.258 Machine Hours 7,500 10.250 3.250 21.000 40 18 83 Production Runs 25 Units Produced 1,500 2.500 750 4.750 What are the setup costs allocated to Strollers during the current month? (Do not round intermediate calculations. Round your answer to the nearest dollar.)
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