OP Technologies Manufacturing manufactures small parts and uses an

activitybased

costing system.

Activity	Est. Indirect Activity Costs	Allocation base	Cost allocation rate
Materials	$77,000	Material moves	$5.00/move
Assembling	$245,000	Direct labor hours	$11.00/dir. labor hour
Packaging	$90,000	# of finished units	$2.00/finished unit

The following parts were produced in October with the following information:

Part	# Produced	Materials Costs	# Moves	Dir. Labor Hrs.
A	2,150	$3,000	800	350
B	3,000	$4,500	1,600	325
C	4,750	$8,000	2,200	1,300

Total manufacturing overhead costs for part A is

A.

$10,850

B.

$7,850

C.

$12,150

D.

$15,150