Sand Castle Manufacturing produces concrete yard art. 2,600 concrete seahorses were produced in a recent production run. The run required 1,300 machine hours, and also required 6 "set-ups" of mixing equipment. Final inspection required 60 hours of inspection activity. Estimated overhead is estimated at $40 per machine hour, plus $2,800 per "set-up" and $30 per inspection hour. Direct materials and direct labor total $80 per seahorse.
(a) Apply activity-based costing and determine the amount assigned to a concrete seahorse.
A.
Amount assigned to a concrete seahorse
114.15
B.
Amount assigned to a concrete seahorse
125.15
C.
Amount assigned to a concrete seahorse
96.15
D.
Amount assigned to a concrete seahorse
107.15
E.
Amount assigned to a concrete seahorse
98.15
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