Zimmerman Company manufactures two products, Board 12 and Case 165. Zimmerman's overhead costs consist of setting up machines, $2,400,000; machining, $5,400,000; and inspecting, $1,800,000. Information on the two products is: Case 165 25,000 400 26,000 700 Board 12 15,000 600 24,000 800 Direct labor hours Machine setups Machine hours Inspections Overhead applied to Board 12 using traditional costing using direct labor hours is If overhead is applied to Board 12 using activity-based costing, the overhead applied would be