A companys planned activity level for next year is expected to be 100000 machine hours. At this level of activity, the company budgeted the following manufacturing overhead costs:

Variable		Fixed
Indirect materials	$210000		Depreciation	$60000
Indirect labor	270000		Taxes	10000
Factory supplies	27000		Supervision	50000

A flexible budget prepared at the 80000 machine hours level of activity would show total manufacturing overhead costs of

A

$507000.

B

$525600.

C

$501600.

D

$405600.