Kerekes Manufacturing Corporation has prepared the following overhead budget for next month.

Activity level		2,700	machine-hours
Variable overhead costs:
Supplies	$	12,690
Indirect labor		23,220
Fixed overhead costs:
Supervision		16,500
Utilities		6,100
Depreciation		7,100
Total overhead cost	$	65,610

The company's variable overhead costs are driven by machine-hours.

What would be the total budgeted overhead cost for next month if the activity level is 2,600 machine-hours rather than 2,700 machine-hours?

Multiple Choice

$63,670

$63,180

$64,280

$65,610