Assigning activity-based costs in manufacturing, unused capacity, income Halifax Brass Company manufactures pumps and valves and uses a time-driven activity-based cost (TDABC) system. Last year, Halifax recorded the following data for assigning manufacturing overhead costs to its products:

Halifax also developed the following information on revenues and costs other than manufacturing overhead:Total revenues $890,000Total direct labor cost $120,000Total direct materials cost $90,000SG&A expenses $100,000Required (a) Using the company??s TDABC system, how much manufacturing overhead cost will be assigned to pumps? How much will be assigned to valves? (b) What is the company??s net income? (Assume the company sells the entire amount of the products it produces.)

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TOTAL UNIT TIME ESTIMATIS (HOURS ASSIGNED TO PRACTICAL CAPACITY NOT ASSICINED TO UNIT COST ESTIMATES (RATES PER HOUR) PRODUCTS (HOURS) PRODUCTS) PUMPS VALVES $20.00 per machine hour $30.00 per labor hour Machine setups and run time Labor for setups, receiving, and packing Engineering (for specializing products) 1,500 1,800 300 6,000 5,000 200 $80.00 per engineering hour 200 400 50