Question: Activity Cost Allocation Base Setup Machine maintenance Total indirect manufacturing costs 50,000 Number of setups 27,000 Number of machine hours 77,000 Direct labor hours Number

Activity Cost Allocation Base Setup Machine maintenance Total indirect manufacturing costs

50,000 Number of setups 27,000 Number of machine hours 77,000 Direct labor

hours Number of setups Number of machine hours Lo-Gain 1,400 30 5,250

Hi-Gain 2,100 30 2,250 Total 3,500 60 7,500

Activity Cost Allocation Base Setup Machine maintenance Total indirect manufacturing costs 50,000 Number of setups 27,000 Number of machine hours 77,000 Direct labor hours Number of setups Number of machine hours Lo-Gain 1,400 30 5,250 Hi-Gain 2,100 30 2,250 Total 3,500 60 7,500

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