Reynoso Corporation manufactures titanium and aluminum tennis racquets. Reynoso\

Question

Reynoso Corporation manufactures titanium and aluminum tennis racquets. Reynoso's total overhead costs consist of assembly costs and inspection costs. The following information is available: Total Cost $60000 $100000 Titanium 500 mach. hours 350 2100 labor hours AluminumT Cost Assembly Inspections 500 mach. hours 150 1900 labor hours Reynoso is considering switching from one overhead rate based on labor hours to activity-based costing. Using activity-based costing, how much assembly cost is assigned to titanium racquets?

Explanation / Answer

Assembly cost assigned to Titanium rackets 60,000/1000 *500 30000 answer

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