Lynwood, Incorporated, produces two products (Product A and Product X) using two activities: Machining, which uses machine hours as a the cost driver, and Inspection, which uses the number of batches as the cost driver. The activity rate for Machining is $180 per machine hour, and the activity rate for Inspection is $520 per batch. The products have the following activity demands:

	Product A	Product X	Total
Machine hours	1,300	3,900	5,200
Number of batches	55	24	79

What is the amount of Machining cost assigned to Product A?

Multiple Choice

$702,000

$676,000

$28,600

$234,000