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Enlighten Services, Inc., a management consulting firm, has been using a single predetermined overhead allocation rate with direct labor hours as the allocation base to

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Enlighten Services, Inc., a management consulting firm, has been using a single predetermined overhead allocation rate with direct labor hours as the allocation base to allocate overhead costs. The direct labor rate is $40 per hour. Miriam Levy, the president of Enlighten, decided to develop an ABC system to accurately allocate the indirect costs. She identified two activities related to the total indirect coststravel and information technology (IT) support. The other relevant details are given below: Activity Travel IT Support Total Allocation base Miles driven Direct labor hours Estimated costs $94,000 57,000 $151,000 Estimated quantity of allocation base 1,000 miles 1,100 DLHO During the current month, Enlighten's consultants spent 125 labor hours for Malka, Inc. The job required the professionals to travel 450 miles in total. Determine the total cost of the consulting job using the ABC system. (Round any intermediate calculations to the nearest cent and your final answer to the nearest dollar.) O A. $5,000 O B. $2,073 OC. $53,778 OD. $6,478

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