Look Manufacturing Corporation has a traditional costing system in which it applies manufacturing overhead to its products using a predetermined overhead rate based on direct labor-hours (DLHs). The company has two products, N06D and M09K, about which it has provided the following data:

	N06D	M09K
Direct materials per unit	$ 33.50	$ 60.30
Direct labor per unit	$ 9.00	$ 31.00
Direct labor-hours per unit	0.20	1.00
Annual production (units)	48,600	20,900

The company's estimated total manufacturing overhead for the year is $1,941,288 and the company's estimated total direct labor-hours for the year is 30,620.

The company is considering using a variation of activity-based costing to determine its unit product costs for external reports. Data for this proposed activity-based costing system appear below:

Activities and Activity Measures	Estimated Overhead Cost
Supporting direct labor (direct labor-hours)	$ 1,163,560
Setting up machines (setups)	381,100
Parts administration (part types)	396,628
Total	$ 1,941,288

	Expected Activity
	N06D	M09K	Total
Direct labor-hours	9,720	20,900	30,620
Setups	1,090	970	2,060
Part types	670	246	916

The manufacturing overhead that would be applied to a unit of product M09K under the activity-based costing system is closest to:

Multiple Choice

• $62.23

• $92.74

• $51.68

• $29.28