Hazelnut Corp. manufactures lawn ornaments. It currently has two product lines, the basic and the luxury. Hazelnut has a total of $147.235 in overhead. The company has identified the following information about its overhead activity cost pools and the two product lines: Cost Amount to $ 3,685 $ 34,650 $ 108.900 54 moves 195 Quality control 190 4,700 machine hours 1. Suppose Hazelnut used a traditional costing system with machine hours as the cost driver. Determine the amount of overhead assigned to each product line. (Do not round intermediate calculations and round your final answers to the nearest whole dollar amount.) ad Ass 2. Calculate the activity rates for each cost pool in Hazelnuts ABC system. the basic 3. O Type here to search
Hazelnut will assign to the basic line if it uses an ABC systenm. Which do you think is more accurate? OType here to search 216/209
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