IV.The manufacturing division of an electronics company uses activity-based costing. The company has identified three activities and the related cost drivers for indirect production costs.

ActivityCost Driver

Activity 1Direct materials cost

Activity 2Kilowatt hours

Activity 3Direct labor cost

Three types of products are produced.Direct costs and cost-driver activity for each product for a month are as follows:

Product AProduct BProduct C

Direct materials cost$150,000$80,000$100,000

Direct labor cost$16,000$20,000$12,000

Direct labor hours2,0002,5001,500

Kilowatt hours200,00090,00060,000

Indirect production costs for the month are as follows:

Activity 1$100,000

Activity 2150,000

Activity 350,000

Total$300,000

Required:Compute the total Indirect Production Costs allocated to ProductC.(10 pts.)