Sitwell Corporation manufactures titanium and aluminum tennis racquets. Sitwell's total overhead costs consist of assembly costs and inspection costs. The Following information is available:

Stilwell is considering switching from one overhead rate based on labor hours to activity-based costing.

Using activity-based costing, how much inspections cost is assigned to titanium racquets?

A) $35,625

B) $52,500

C) $22,500

D) $37,500

Cost Assembly Inspections Titanium 500 machine hours 350 2,100 labor hours Aluminum 500 machine hours 150 1,900 labor hours Total Cost $45,000 $75,000