Assume a companys activity-based costing system includes three activities with the following activity rates:

Activity Cost Pool	Activity Rate
Testing	$ 2	per testing minute
Setups	$ 50	per setup hour
Molding	$ 22	per machine-hour

Two of the companys many products include Product A and Product B. These two products consumed the companys activities as follows:

	Total Expected Activity
	Product A	Product B
Testing (number of testing minutes)	345	250
Setups (number of setup hours)	15	5
Molding (number of machine-hours)	20	12

How much cost would be assigned from the Testing activity to Product A?

Multiple Choice

• $690

• $173

• $60

• $500