Rawlings Corp. has two product lines, A and B. Rawlings has identified the following information about its overhead and potential cost drivers.
Total overhead $76,360
Cost drivers
Number of labor hours 3,300
Number of machine hours 46,000
1. Suppose the Rawlings Corp. uses a traditional costing system with number of labor hours as the cost driver. Determine the amount of overhead assigned to each product line if Product A requires 65% of the labor hours and Product B requires 35%. (Round your answers to the nearest dollar amount. Omit the “$” sign in your response.)
Overhead assigned
Product A:$____________
Product B:$____________
2. Suppose Rawlings uses a traditional costing system with machine hours as the cost driver. Determine the amount of overhead assigned to each product line if Product A consumes 16,900 machine hours and Product B consumes 29,100. (Round intermediate calculations to 2 decimal places and your final answers to the nearest whole dollar amount. Omit the “$” sign in your response.)
Overhead assigned
Product A:$____________
Product B:$____________