Question: Please help me solve the following question with steps on how to do it. I already have the answer, I just need someone to explain
Please help me solve the following question with steps on how to do it. I already have the answer, I just need someone to explain in clear steps on how to do this problem.
Pacific Northwest Ski Company makes both traditional skis and new parabola-shaped skis that are less stable but turn more easily. During 2011, the company produced 10,000 pairs of traditional skis and 7,000 pairs of new skis. Both types of skis required 3 hours of direct labor per pair of skis. Materials handling costs to transfer material to different workstations amounted to $20,000. The traditional skis used 150 hours of materials handling time and the new skis used 170 hours. Assuming that all overhead cost is allocated using an activity-based cost system, the total amount of materials handling cost assigned to the new skis would be
ANS: 10625
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