[The following information applies to the questions displayed below.] Sara's Salsa Company produces its condiments in two types: Extra Fine for restaurant customers and Family Style for home use. Salsa is prepared in department 1 and packaged in department 2. The activities, overhead costs, and drivers associated with these two manufacturing processes and the company's production support activities follow. Process Department 1 Activity Overhead cost Driver Mixing $ Cooking 4,500 11,250 Machine hours Machine hours Product testing 112,500 Batches Quantity 1,500 1,500 600 $ 128,250 Department 2 Machine calibration $ 250,000 Production runs 400 Labeling 12,000 Cases of output 120,000 Defects 6,000 Cases of output 120,000