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Vaughn Company manufactures two products, Mini A and Maxi B. Vaughn's overhead costs consist of setting up machines, $750000; machining, $2000000; and inspecting, $570000. Information
Vaughn Company manufactures two products, Mini A and Maxi B. Vaughn's overhead costs consist of setting up machines, $750000; machining, $2000000; and inspecting, $570000. Information on the two products is: Mini A 19000 Maxi B 25000 500 700 Direct labour hours Machine setups Machine hours Inspections 24000 26000 800 700 Overhead applied to Mini A using activity-based costing is $1433636. $1936667 $1701500. $1593600
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