9) Fletes Corporation manufactures two products: Product 095C and Product M31N. The company uses a plantwide overhead rate based on direct labor-hours. It is considering implementing an activity-based costing (ABC) system that allocates its manufacturing overhead to four cost pools. The following additional information is available for the company as a whole and for Products 095C and M31N Activity Cost Pool Machining Machine setups Product design Order size Activity Measure Machine-hours Number of setups Number of products Direct labor-hours Total Cost Total Activity S 207,000 9,000 MHs S 140,000 350 setups S 98,000 2 products S 340,000 10,000 DLH s Activity Measure Product 095C Product M31N 6,000 190 3,000 160 Machine-hours Number of setups Number of products Direct labor-hours 4,000 6,000 A) $392,500 B) $ 1 36.000 C) $399,000 D) $263,000