24)

Gutknecht Corporation uses an activity-based costing system with three activity cost pools. The company has provided the following data concerning its costs and its activity-based costing system:

Costs:
Wages and salaries	$	300,000
Depreciation		180,000
Utilities		240,000
Total	$	720,000

Distribution of resource consumption:

	Activity Cost Pools
	Assembly	Setting Up		Other	Total
Wages and salaries	35%	40%		25%	100%
Depreciation	5%	60%		35%	100%
Utilities	10%	60%		30%	100%

How much cost, in total, would be allocated in the first-stage allocation to the Other activity cost pool?

Multiple Choice

• A) $216,000

• B) $180,000

• C) $210,000

• D) $138,000