Answer:
$35,706
Explanation:
Machining:
= Cost ÷ Total MHs
= $43,200 ÷ (7,300 + 2,700) MHs
= $43,200 ÷ 10,000 MHs
= $4.32 per MH
Order Filling:
= cost ÷ Total orders
= $13,900 ÷ (600 + 1,400) orders
= $13,900 ÷ 2,000 orders
= $6.95 per order
Overhead cost for Product N8:
= Machining + Order Filling
= ($4.32 per MH × 7,300 MHs) + ($6.95 per order × 600 orders)
= $31,536 + $4,170
= $35,706