Jordan Company makes two types of circuit boards. One is a high-caliber board designed to accomplish...

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Jordan Company makes two types of circuit boards. One is a high-caliber board designed to accomplish the most demanding tasks; the other is a low-caliber board designed to provide limited service at an affordable price. During its most recent accounting period, Jordan incurred $260,000 of inspection cost. Jordan recently established an activity-based costing system that classifies its activities into four categories. Categories and appropriate cost drivers follow: Direct Labor Number of Number of Number of Square Hours Batches Inspectors Feet High caliber Low caliber 3,000 13,000 26 7 45,000 85,000 26 Total 16,000 52 13 130,000 Required Allocate the inspection cost between the two products assuming that it is driven by (a) unit-level activities, (b) batch-level activities, (c) product-level activities, or (d) facility-level activities. Note that each allocation represents a separate alternative. In other words, the $260,000 of inspection cost will be allocated four times, once for each cost driver. (Do not round intermediate calculations.) Allocated Cost High-Caliber Boards Low-Caliber Boards (a) Unit-level activities (b) Batch-level activities (c) Product-level activities (d) Facility-level activities Jordan Company makes two types of circuit boards. One is a high-caliber board designed to accomplish the most demanding tasks; the other is a low-caliber board designed to provide limited service at an affordable price. During its most recent accounting period, Jordan incurred $260,000 of inspection cost. Jordan recently established an activity-based costing system that classifies its activities into four categories. Categories and appropriate cost drivers follow: Direct Labor Number of Number of Number of Square Hours Batches Inspectors Feet High caliber Low caliber 3,000 13,000 26 7 45,000 85,000 26 Total 16,000 52 13 130,000 Required Allocate the inspection cost between the two products assuming that it is driven by (a) unit-level activities, (b) batch-level activities, (c) product-level activities, or (d) facility-level activities. Note that each allocation represents a separate alternative. In other words, the $260,000 of inspection cost will be allocated four times, once for each cost driver. (Do not round intermediate calculations.) Allocated Cost High-Caliber Boards Low-Caliber Boards (a) Unit-level activities (b) Batch-level activities (c) Product-level activities (d) Facility-level activities

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