Emrald Corp currently uses a manufacturing facility costing

$560,000 per year; 81%

of the facility's capacity is currently being used. A startup

business has proposed a plan that would utilize the other 19%

of the facility and increase the overall costs of maintaining the space by 12%.

If the incremental method were used, what amount of cost would be allocated to the startup business?

A.

$119,168

B.

$67,200

C.

$98,952

D.

$86,184