Allure Company manufactures and distributes two products, M and XY. Overhead costs are currently allocated using the number of units produced as the allocation base. The controller has recommended changing to an activity-based costing (ABC) system. She has collected the following information:

Activity Production setups Material handling Packaging costs Cost Driver Number of setups Number of parts Number of units Amount $ 80,000 55,000 249,000 $384,000 AXY M 15 35 36 96,000 64,000 54 What is the total overhead allocated to Product M using the current system? $249,000. $206,400. 0 $230,400 $177,600