10)

Sunland manufactures mattresses for the hotel industry. It has two products, Downy and Firm and total overhead of $507000. The company plans to manufacture 160 Downy mattresses and 290 Firm mattresses this year. In manufacturing the mattresses, the company must perform 670 material moves for the Downy and 300 for the Firm; it processes 110 purchase orders for the Downy and 90 for the Firm; and the company's employees work 2800 direct labour hours on the Downy product and 3700 on the Firm. Sunland's total material handling costs are $291000 and its total purchasing costs are $216000. Using ABC, how much overhead would be assigned to the Downy product? O $253500 O $507000 O $187200 O $319800