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The company has decided to redo their accounting system and move to an activity based cost system. Table 1 shows the five activity cost pools which include all of the company's direct labor and manufacturing overhead costs. It also shows the cost drivers for each pool. Table 2 shows the cost drivers consumed by the two products. Table 3 shows budgeted product data for Jeans and T-shiits. Table 1: Guess Klein Activity Cost Pools Activity Cost Cost Driver Maintain Equipment $56,000 Machine hours Cut 276,000 Number of cuts Sew 212,000 Number of sides Button/Zipper 95,500 Labor hours Check/Move Goods 45,500 Number of moves Total $685,000 Table 2: Guess Klein Activity Cost Drivers ll Jeans T-shirts II Total Total Machine Hours 3,000 1,000 4,000 Number of cuts per garment ll 4 1" 5 Number of sides per garment 3 1 4 Total Labor Hours 3,600 3,600 Total Number of Moves 200 200 400 Table 3: Budgeted Product Data for Guess Klein Garments Product Jeans T-shirts Total Direct Materials 125,000 75,000 200,000 Direct Labor (Allocated on garments produced) 65,000 130,000 195,000 Machine Hours 3,000 1,000 4,000 Garments Produced 50,000 100,000 150,000 The amount of activity "Maintain Equipment" allocated to Jeans is: A $56,000 $42,000 $14,000 $0.84 C) C) C) -i