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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
- 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:
Direct labor hours Machine setups Machine hours Inspections
Board 12
15,000 600 24,000 800
Case 165
25,000 400 26,000 700
Overhead applied to Board 12 using traditional costing using direct labor hours is
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