Sedona Hats manufactures two different types of hat: Narrow Brim and Wide Brim. The company's overhead costs include $72,000 for machining, $48,000 for machine set-ups, and $36,000 for inspections. Sedona produced 15,000 Narrow Brim hats and 60,000 Wide Brim hats. Sedona's new cost accountant has compiled the following information:

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Direct labor hours Machine set-ups Machine hours Inspections Narrow Wide Brim Brim 24,000 36,000 40 80 6,000 18,000 60 90 Direct labor hours Machine set-ups Machine hours Inspections Narrow Wide Brim Brim 24,000 36,000 40 80 6,000 18,000 60 90