Orange, Inc. has identified the following cost drivers for its expected overhead costs for the year:

Cost Pools	Budgeted Cost			Cost Driver	Cost Driver Level
Setup	$	61,000		Number of setups	305
Ordering		30,500		Number of orders	1,525
Maintenance		76,250		Machine hours	7,625
Power		15,250		Kilowatt hours	15,250

Total direct labor hours budgeted = 3,050 hours.

The following data applies to Product X, one of the products completed during the year.

Direct materials	$	1,525
Direct labor	$	1,830
Units completed		160
Direct labor hours		61
Number of setups		6
Number of orders		12
Machine hours		60
Kilowatt hours		120

If a volume-based costing system based on direct labor hours to assign overhead is used, the total overhead cost for Product X will be:

Multiple Choice

• $2,124.

• $2,184.

• $3,050.

• $3,660.

• $3,184.