överhead costs consist of assembly costs and inspection costs. The following information is available regarding activity cost pools, estimated use of activities per product. and total estimated overhead costs: Activity Cost Pools Assembly Inspections Titanium 500 mach. hrs. O $60200. O $43000. O $110000. $54900 350 2100 labor hrs. Aluminum 500 mach, hrs. 150 1900 labor hrs. Total Cost $31000 $86000 Coronado is considering switching from one overhead rate based on labor hours to activity-based costing. Using activity-based costing, what amount of inspections cost is assigned to titanium racquets?

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Chapter1: Financial Statements And Business Decisions
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assembly
Coronado Corporation manufactures titanium and aluminum tennis racquets. Coronado's total overhead costs consist of
costs and inspection costs. The following information is available regarding activity cost pools, estimated use of activities per product,
and total estimated overhead costs:
Activity Cost Pools
Assembly
Inspections.
Titanium
500 mach. hrs.
350
O $60200.
O $43000.
O $110000
O $54900.
2100 labor hrs.
Aluminum
500 mach. hrs.
150
1900 labor hrs.
Total Cost
$31000
$86000
Coronado is considering switching from one overhead rate based on labor hours to activity based costing.
Using activity-based costing, what amount of inspections cost is assigned to titanium racquets?
Transcribed Image Text:assembly Coronado Corporation manufactures titanium and aluminum tennis racquets. Coronado's total overhead costs consist of costs and inspection costs. The following information is available regarding activity cost pools, estimated use of activities per product, and total estimated overhead costs: Activity Cost Pools Assembly Inspections. Titanium 500 mach. hrs. 350 O $60200. O $43000. O $110000 O $54900. 2100 labor hrs. Aluminum 500 mach. hrs. 150 1900 labor hrs. Total Cost $31000 $86000 Coronado is considering switching from one overhead rate based on labor hours to activity based costing. Using activity-based costing, what amount of inspections cost is assigned to titanium racquets?
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