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Sunland Company manufactures two products, Board 12 and Case 165. Sunland's overhead costs consist of setting up machines, $2400000; machining, $5000000; and inspecting, $1530000. Information
Sunland Company manufactures two products, Board 12 and Case 165. Sunland's overhead costs consist of setting up machines, $2400000; machining, $5000000; and inspecting, $1530000. Information on the two products and their estimated use of cost drivers is as follows: Direct labor hours Machine setups Machine hours Inspections Board 12 $3750000. $5358000. $4130000. $4656000. 15000 600 24000 800 Case 165 20720 400 26000 700 Overhead assigned to Board 12 using activity-based costing is
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