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North Street Corporation manufactures two models of motorized go-carts, a standard and a deluxe model. The following activity and cost information has been compiled: Number
North Street Corporation manufactures two models of motorized go-carts, a standard and a deluxe model. The following activity and cost information has been compiled: Number of Number of Number of Product Setups Components Direct Labor Hours Standard 15 9 780 Deluxe 32 14 490 Overhead costs $17,390 $21,620 Number of setups and number of components are identified as activity - cost drivers for overhead. Assuming an activity based costing system is used, what is the total amount of overhead cost assigned to the deluxe model? O A. $25,000 OB. $20,300 O C. $19,505 OD. $18,710
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