Goertz Corporation has an activity-based costing system with three activity cost pools Machining. Order Filling, and Other. In the first stage allocations, costs in the two overhead accounts, equipment depreciation and supervisory expense, are allocated to the three activity cost pools based on resource consumption Data used in the first stage allocations follow: Overhead costs Equipment depreciation Supervisory expense $51,000 $ 3,000 Distribution of Resource Consumption Across Activity Cost Pools: Activity Cost Pools Machining Order Filling 0.40 0.10 0.20 0.30 Equipment depreciation Supervisory expense Other 0.50 0.50 Machining costs are assigned to products using machine hours (MHS) and Order Filling costs are assigned to products using the number of orders. The costs in the Other activity cost pool are not assigned to products. Activity data for the company's two products follow Activity: Orders (Order Filling) MHS (Machining) 9,100 900 10,000 Product J3 Product 17 100 900 1,000 Total Finally, the costs of Machining and Order Filling are combined with the following sales and direct cost data to determine product margins Sales and Direct Cost Data: Product Product 3 P7 $145,200 $90, 700 Sales (total) Direct materials (total) Direct labor (total) $ B1,400 5 37,700 330 600 $42, 400 What is the product margin for Product F7 under activity-based costing? Multiple Choice | o ( $2,410 o 327 o $10.600 c o 59,700