MF manufactures three different sizes of widgets: tiny, medium, and large. Using an activity-based costing system MF has 5 unique production activities as well as the best cost driver for each activity.

Budgeted

Activity Cost Driver Costs

Materials handling Labor hours $ 55,000

Automated processing Machine hours 40,000

Plastic parts insertion Number of parts 6,000

Inspections Labor hours 29,000

Packaging Orders shipped 31,000

Total indirect manufacturing cost $161,000

The following information relates to each size of widget and next year'santicipatedmanufacturing operations:

Large Medium Tiny

Units to be produced 350 400 600

Orders to be shipped 180200 250

Number of parts per unit 86 4

Machine hours per unit 4 2 1

Labor hours per unit 2 2 2

Under an activity-based costing system, what is the per unit cost for manufacturing overhead of aLARGEwidget for the MF Company? Round your answer

• $189
• $151
• $100
• $201
• $136
• $120
• $198