North Street Corporation manufactures two models of motorized gominuscarts, a standard and a deluxe model. The following
Question:
North Street Corporation manufactures two models of motorized gominuscarts, a standard and a deluxe model. The following activity and cost information has been compiled:
product standard ; # of set ups 17 ; # of componets 5 ; number of direct labor hours 730
product delux ; # of set ups 33 ; # of componets 12 ; number of direct labor hours 420
overhead cost setups 16,000 overhead cost # of components 15,300
Number of setups and number of components are identified as activityminuscost drivers for overhead. Assuming an activityminusbased costing system is used, what is the total amount of overhead cost assigned to the standard model? (Do not round interim calculations. Round the final answer to the nearest whole dollar.)
A.
$ 21 comma 360
B.
$ 9 comma 940
C.
$ 15 comma 650
D.
$ 16 comma 900