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Black Company incurs overhead costs each year in its three main departments, setup ($105,000), machining ($48,000), and packing ($77,000). Information about the company's two products is as follows:
Product A1
Product B1
Total
Number of setups
14
26
Machining hours
3,500
1,500
Orders packed
350
150
Number of products manufactured
700
300
If machining hours are used as a base under traditional costing, how much overhead is assigned to Product A1? $73,500 $230,000 $536,667 $161,000
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