Hayden Co. produces two different products (Product A and Product B) using two different activities: Fabrication, which uses machine hours as an activity driver, and Inspection, which uses number of batches as an activity driver. The activity drivers are used as follows:

	Product A	Product B	Total
Machine hours	1,000	3,000	4,000
Number of batches	45	15	60

The activity rate for Fabrication is $57.50 per machine hour. What is the total cost of Machining?

		$270,000
		$230,000
		$175,500
		$57,500