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Venice Company makes two kind of specialized buckets: wicker and wooden. It requires approximately one hour of labor to make one bucket of either type.

Venice Company makes two kind of specialized buckets: wicker and wooden. It requires approximately one hour of labor to make one bucket of either type. Wicker buckets are produced in batches of 100 units and require 0.4 machine hours per bucket. Wooden buckets are produced in batches of 50 units and require 0.75 machine hours per bucket. Setup is required for each batch. During the most recent accounting period, the company made 8,400 wicker buckets and 2,400 wooden buckets. Setup costs amounted to $33,000 for the buckets produced during the period. If activity-based costing is used to allocate overhead costs to the two products, the amount of setup cost assigned to the wicker buckets will be:
Multiple Choice
$21,000.
$24,850.
$13,200.
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