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 Cost Driver Amount M XY Production setups Number of setups $ 77,000 8 12 Material handling Number of parts 56,000 56 14 Packaging costs Number of units 203,000 84,000 56,000 $ 336,000 What is the total overhead allocated to Product XY using the current system?

Multiple Choice

$138,600.

$201,600.

$134,400.

$197,400.