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Milan Company has identified three cost pools to allocate overhead costs. The following estimates are provided for the coming year: Cost Pool Supervision of direct
Milan Company has identified three cost pools to allocate overhead costs. The following estimates are provided for the coming year: Cost Pool Supervision of direct labor Machine maintenance Facility rent Total overhead costs Overhead Costs Cost driver $687,500 Direct labor - hours $100,000 Machine-hours $210,000 Square feet of area $997,500 Activity level 950,000 840,000 140,000 The accounting records show the Mossman Job consumed the following resources: Cost driver Direct labor - hours Machine-hours Actual level 230 1,681.68 80 Square feet of area Under activity-based costing, what is the amount of machine maintenance costs allocated to the Mossman Job? (Do not round any intermediary calculations.) A. $200.20 B. $210.45 C. $1,997.00 D. $1,765.76
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