Lufthansa, Inc. uses two different carriers (Airbus and Boeing) and allocated costs with two different activities: Machining, which uses machine hours as an activity driver, and Inspection, which uses number of round trips as an activity driver. The activity rate for Machining is $180 per machine hour, and the activity rate for Inspection is $540 per batch. The activity drivers are used as follows:

	Airbus	Boeing	Total
Machine hours	1,400	3,100	4,500
Number of round trips	47	18	65

What is the amount of Inspection cost assigned to Airbus?

Multiple Choice

• $25,380

• $35,100

• $252,000

• $9,720