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Ivanhoe Corp. is a factory that produces cloud-shaped home dcor, and their most successful product...

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Accounting

Ivanhoe Corp. is a factory that produces cloud-shaped home dcor, and their most successful product to date has been a small
cloud pillow. Ivanhoe is considering a switch to Activity-Based Costing (ABC) and has finally identified the key activities it would
like to use to allocate its manufacturing overhead costs. Management would like some additional information about how this
method would allocate a recent production run of cloud pillows.
The production department had a recent run of cloud pillows that used the following: 1,400 square feet; 2,520 machine setups;
and 2,090 pounds of material. How much unit-level cost should be allocated to the production department of Ivanhoe? (Round
intermediate calculations and final answer to 2 decimal places, e.g.25,000.25.)
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