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A company produces numerous blends of coffee, two of which are known as the french blend and italian blend. The company's abc system divides its

A company produces numerous blends of coffee, two of which are known as the french blend and italian blend. The company's abc system divides its total manufacturing overhead of 1,982,500 into four activity cost pools as shown below.

Purchasing : Expected activity 1,500 : Estimated costs 330,000

Materials Handling: Expected 1,800 : Estimated 540,000

Quality Control: Expected 600 : Estimated 210,000

Roasting : Expected 95,000 : Estimated 902,500

French Blend

Expected Sales: 100,000 pounds

Batch Size: 10,000 pounds

Setups: 3 per batch

Purchase order size : 20,000 pounds

Roasting time per 100 pounds : 0.5 hours

Italian Blend:

Expected sales : 5,000 pounds

Batch Size : 1,250 pounds

Setups : 3 per batch

Purchasing order size : 500 pounds

Roasting time per 100 pounds: .5 hours

Assume the company uses activity based absorption costing. How much total overhead cost would be assigned tp the french blend based on its expected sales?

Multiple choice:

A: 16,850

B: 17,150

C: 17,550

D: 18,350

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