If the company uses activity-based costing abc how much

Question

 

A company has identified the following overhead costs and cost drivers for the coming year:

 

			Budgeted
Overhead Item	Cost Driver	Budgeted Cost	Activity Level
Machine setup	Number of setups	$ 21,000	200
Inspection	Number of inspections	112,500	4,500
Material handling	Number of material moves	90,000	6,000
Engineering	Engineering hours	15,000	600

 

Budgeted direct labor cost was $190,000 and budgeted direct material cost was $530,000. The following information was collected on three jobs that were completed during the year:

 

	Job 101		Job 102		Job 103
Direct materials	$ 4,500		$ 9,500		$ 5,500
Direct labor	$ 2,100		$ 2,100		$ 4,200
Units completed	75		40		100
Number of setups	1		1		3
Number of inspections	15		8		10
Number of material moves	20		8		25
Engineering hours	8		40		5

 

If the company uses activity-based costing (ABC), how much overhead cost should be assigned to Job 101?