Amber Products Company manufactures a product sold to retailers. It is considering suppliers for its process. The supplier quality involves four activity areas:

Activity Area	Cost Driver and Rate
Order cost	$150 per purchase order
Defective units	$160 per unit internal failure costs
Delivery trips	$4 per delivery mile
Carrying cost	$2 per order

The following supplier information is given:

	X3	Y2	Z1
Materials units needed	60,000	60,000	60,000
Actual purchase price	$6.00	$5.00	$4.00
Number of purchase orders	25	20	10
Number of defects	7	15	0
Number of deliveries	25	35	15

What is the cost of supplier Z1?

a.$413,000

b.$756,228

c.$325,650

d.$241,580