Abusiness firm is collaborating on an initiative with a nonprofit organization by providing public-relations training to working professionals throughout a country. twenty percent of the fee that the participants would pay is given to the nonprofit organization. the nonprofit organization in turn reaches a wider range of audience across the country for its training program. this scenario illustrates

Performance bicycle company makes steel and titanium handle bars for bicycles. it requires approximately 1 hour of labor to make one handle bar of either type. during the most recent accounting period, barr company made 7,700 steel bars and 2,300 titanium bars. setup costs amounted to $35,000. one batch of each type of bar was run each month. if a single company-wide overhead rate based on direct labor hours is used to allocate overhead costs to the two products, the amount of setup cost assigned to the steel bars will be: